page_title: Skagen
section_title: Economy
hierarchical_section_title: Skagen / Economy
caption_attribution_description: Dansk: Skagen havn
context_page_description: Skagen is Denmark's northernmost town, on the east coast of the Skagen Odde peninsula in the far north of Jutland, part of Frederikshavn Municipality in Nordjylland, 41 kilometres north of Frederikshavn and 108 kilometres northeast of Aalborg. The Port of Skagen is Denmark's main fishing port and it also has a thriving tourist industry, attracting 2 million people annually.
  The name was applied originally to the peninsula but it now also refers to the town. The settlement began during the Middle Ages as a fishing village, renowned for its herring industry. Thanks to its seascapes, fishermen and evening light, towards the end of the 19th century it became popular with a group of impressionist artists now known as the Skagen Painters. In 1879, the Skagen Fishermen's Association was established with the purpose of facilitating the local fishing industry through the Skagensbanen railway, which opened as a narrow-gauged railway in 1890. The modern port of Skagen opened on 20 November 1907, and with the railway connections to Frederikshavn and the rest of Denmark, tourism began to develop.
context_section_description: For generations, Skagen's economy has been based on its fishing industry which continues to prosper today, facilitated by its fishing harbour, the largest in Denmark. Skagen also has the country's main herring processing facility and the world's largest fish oil factory. The town's evolving fishing industry led to considerable growth in the local population which reached some 11,500 in the 1960s. A fish auction is held at dawn in the harbour, and between May and October the harbour also attracts yachting enthusiasts.
  Tourism has now become the town's main industry. Initially attracted by its associations with the Skagen Painters, well-to-do visitors sought to benefit from its special light, colour and its fishermen. Their interest led to new hotels, summer houses and expensive villas. The old fishing village was transformed into a miniature city with fine streets lined with boutiques. From the 1960s, it became increasingly fashionable for the upper-classes to spend their summers in Skagen.
  Galleries selling local art and reproductions of Skagen's most iconic paintings have spread across the town, making it one of the places in Denmark with most galleries. Thanks to the town's growing reputation, sailing enthusiasts from Norway, Sweden and Denmark are now also among its frequent visitors. The quality brand name of Skagen has spread far afield, resulting in the establishment of the successful American watch company Skagen Designs which "set out to create a design driven company centred around the welcoming spirit of the city". Currently a new tourist initiative "The Top of Denmark" targets Skagen as a year-round attraction, not just a summer resort. The harbour is also being adapted to accommodate large international cruise ships. A new 450-meter berth will be completed by 2015 while the existing 170-meter berth will be extended to 200 meters. Skagen now attracts some 2 million visitors a year to its hotels, restaurants, shops and galleries, making tourism a major source of income and employment. An annual attraction is the Skagen Festival, Denmark's oldest music festival, which is held the first weekend of July at various venues in Skagen and the harbour area. The largest campsite in the Skagen area is Grenen Camping, situated about 1.5 kilometres (0.93 mi) northeast of the centre, adjacent to the beach.
  Until 2007, Skagen was a municipality in its own right with a substantial local administration. With the reforms of 2007, it became part of Frederikshavn Municipality with a resulting loss in administrative jobs. The Bank of Skagen was established in 1862, and in 1865 a telegraph station was established in the town. The pharmacy opened in 1904, a hospital in 1916, and telephone services were automated in 1956. Ankermedet School was established in 1955. Recently, Skagen has seen developments in the offshore sector with an initiative to assist the Norwegian market through the establishment of Skagen Offshorepark in 2012. On the shipbuilding front, Karstensens Skibsværft continues to prosper with orders for trawlers from Norway.
  Currently the harbour is being enlarged in order to accommodate larger vessels, especially cruise ships. From 2015 the enlarged harbour is expected to attract up to 40 large cruise ships per year compared to about a dozen smaller ships at present. The new harbour should provide new jobs increasing the workforce in the harbour from 2,000 today to some 2,600 on completion. Karstens Skibsværft, Danish Yacht, and the herring processing firm, Skagerrak Pelgic, are reported to be the most successful companies in Skagen but the town is also home to FF Skagen, the world's top producer of fish meal and fish oil.
caption: Wharf of the Port of Skagen
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