According to statistics collected by General Department of Customs in 2009, shrimp exporting of Vietnam is estimated about 190,000 tons, valued above 1.5 billion USD, increased 7.4% in volume and 0.73% in value comparing with that of 2008.
2009 is considered extremely hard for aquiculture industry. Farmer is suffered from not only disease and irregular weather but also narrowing output.
There are times when processing enterprises have to keep in stock about 40,000 ton of frozen tiger prawn since global market directs its tendency toward white leg shrimp. And there are times when white leg shrimp accounts 80% of total market share of frozen shrimp that drives tiger prawn into corner.
Especially, because of global recession, in first 6 months of 2009, tiger prawn price for the first time within 10 years dropped to the lowest point. Because of dropping price, farmers have to stop working 30% of their total farming area, fueled by disease that causes declined production.
However, global market demand shows sign of re-raising in the middle of 2009, and order is increasing at year end holidays as Christmas Eve and New Year Season that makes source of material shrimp scarce.
Tiger prawn price now revises, for example, type of 20 per kilo priced at nearly 150.000 VND/kilo, and type of 30 per kilo is at 110.000 – 120.000 VND/kilo, averagely increased 20.000 – 30.000 VND/kilo comparing with that of June.
Price of material tiger prawn peaks this time. This year is forecasted to be a bumper year for the industry which is going for a good price. About 80% of farmer has profit, averagely from 50 – 60 million VND/ha/one. Particularly, there will be some farmers get profit at hundreds of million VND.
Exporting destinations of Vietnam in 2009 are 82 markets in which 10 markets account over 80% of volume and value; those markets are Japan, USA, Korea, Taiwan, Germany, China, Australia, Canada, England and Belgium. Tiger prawn still keeps key position and accounts over 75% of shrimp exporting value.
Such markets as Korea, China and Australia are becoming extremely potential markets with remarkably raising sales, accounts nearly 20% of exporting market share. German market is also worth to pay special attention in 2009, since it makes nearly 30% in total importing turnover of these 10 markets.
According to Truong Dinh Hoe’s forecasting, General Secretary of Vietnam Association of Seafood Exporting and Processing (VASEP), in 2010 tiger prawn is still key product and exporting value of white leg shrimp is going to be twice to 500 million USD with volume is about 150.000 ton.
Exporting turnover of tiger prawn is expected at 1.4 billion USD. According to Hoe, tiger prawn price would rather directly impact on exporting than market in New Year.
In 2010, Vietnamese shrimp is going to be first choice for Japanese importers and Korea is going to be a very important market for the industry after recession.
In relation to orientation for seafood exporting in 2010, Deputy Minister Luong Le Phuong recommends locals should keeps investing in producing material zone. Locals should have plans and projects for producing enough material; otherwise they have to import material with a well managed and controlled price; then creating united chain between manufacturing – processing and exporting.
Besides, we need to have good trade promotion relation and well planned strategies such as keeping traditional markets as UE, USA, Japan, Russia and enlarging new one as Middle East and South America.
Locals should check all their aqua cultural area; make sure of conditions for multi-reason area, hygiene safety; enlarge industrial farming area as well as ecological farming; adjust producing scale to market orientation.
Another good new for processing enterprises is that exporting shrimp products to Japanese market is going to bare tax rate at 0% resulting from agreement on seafood importing between Vietnam and Japan.
Japanese will reduce importing tax rate to zero for Vietnamese seafood products. This opens an important chance for exporting processing enterprises continue to upgrade their competency and to increase production as well as exporting value.
Source: VN Industry & Commerce
Translated by Vietfish Community
