Seafood exports face difficulties
According to the Department of Fisheries (Ministry of Agriculture and Rural Development), seafood export turnover in 2023 is estimated at 9.2 billion USD, reaching 92% of the plan, down 8% compared to 2022. Of which, shrimp export is about 3.45 billion USD, pangasius is about 1.9 billion USD, tuna is 900 million USD, mollusks are 800 million USD.
Mr. Nhu Van Can - Deputy Director of the Department of Fisheries said that the export turnover target for 2024 is about 9.5 billion USD. This target is set in the context that the European Commission (EC) continues to maintain the yellow card warning for Vietnam's exploited seafood. Therefore, in 2024, the task of developing seafood exports will become more difficult.
Mr. Tran Dinh Luan - Director of the Department of Fisheries - said that the fisheries industry still has to face problems and limitations that have existed since 2023. These include the lack of standards and regulations on environmental monitoring, the lack of infrastructure in farming areas, and the lack of improvements in product preservation. The efficiency of exploitation activities is still low, consumption demand has decreased in most markets, causing difficulties in product consumption, and product prices have also decreased, leading to a decrease in export turnover.
In addition, the problem of supply and control of breeding stock in aquaculture and the problem of environmental pollution still have many potentials in farming areas, especially in some provinces in the Mekong Delta. It is worth mentioning that one of the products that brings in quite high export turnover, lobster, is facing congestion in the Chinese market...
Can exports return to $9.5 billion?
Despite many difficulties, the Vietnam Association of Seafood Exporters and Producers (VASEP) believes that Vietnam's seafood exports will gradually recover in 2024 and be more positive in the second half of the year.
The association believes that with adaptation and adjustment to the market context, seafood businesses are expected to help the industry's export turnover recover to 9.5 billion USD - 10 billion USD in 2024.
Commenting on factors affecting the seafood export market in 2024, Vasep said that inflation in major countries has been controlled, the world economy has bottomed out, but recovery is slow, affecting the demand for seafood consumption.
The Russia-Ukraine conflict, fighting in the Middle East and other geopolitical issues around the world will certainly disrupt global trade, including seafood. The consequences will increase transportation costs and input prices for aquaculture and seafood processing. It may also cause a new inflationary spiral that will affect seafood consumption demand in 2024.
Vietnamese shrimp will continue to compete with Ecuador and India in terms of price and supply, and the oversupply situation may persist until the first half of the year. However, pangasius inventories in the US, China, and EU markets are no longer a problem. Export prices will increase again in these markets. In addition to frozen fillets, the import trend of value-added pangasius and by-products (fish bladders, pangasius cakes) continues to increase.
Vasep emphasized that the IUU yellow card continues to be a challenge. If it is not resolved in 2024, it will cause exports to the EU to stagnate because the procedures for confirming and certifying exploited seafood are still inadequate due to factors such as resources, human resources and infrastructure that do not meet the requirements. Industries such as tuna, squid, octopus and marine fish are the most affected...
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