Malaysian seafood exporters urge for EU market

 

 

Seafood processors in Kota Kinabalu are hoping that the Malaysian government will help them get the green light to export products to the EU soon.

 

Initially, seafood processors nationwide could not ship their products to EU countries after the Union banned the import of Malaysia's seafood in 2008.

 

Although the ban was lifted nearly 10 months later, only a handful have been able to export to the EU due to strict hygiene and public health requirements imposed by the EU on seafood.

 

Because of this, most of the processors need to improve facilities and equipment to meet the requirements of the EU but they lack the financial strength to do so.

 

Tuaran-based QL Marine Products Sdn Bhd is one of the companies feeling the pinch according to factory manager, Chia Song Pou, who revealed they once shipped frozen squid and octopus, among others, to Italy and Spain. The company now only exports to Taiwan, Hong Kong and China, some to Singapore and Japan.

 

Chia said seafood processors in Sabah are still waiting for the government to assist them so they would remain competitive. According to reports last year, the EU is a crucial market for the US$421 million shrimp industry as it buys half the exported shrimps.

 

Another seafood processor, Chin Chang Sdn Bhd executive chairman Datuk Ng Song Chuan said that although the ban had no direct affect over his business, nevertheless, the EU might permanently make other countries as sources to obtain seafood products if nothing substantial was done to help the industry.

 

"Now the EU is already looking to Vietnam and Thailand for seafood products and probably Indonesia," Ng said.

 

He also said that processors might need to look for third parties to source their products to the EU, pointing out this would not be an avenue viable for small-scale companies to compete at.

 

His company exports frozen cuttlefish to the US, Japan and Thailand (Bangkok) and some fish products to Brunei. In addition, seafood processors needed the financial assistance to better equipment such as processing facilities to be allowed to re-enter the EU market.

 

In December last year, Malaysian Foods Processors Association president, Ch'ng Chin Hooi said the seafood processing industry was set to lose about MYR1 billion in sales during the quarter as the association members had yet to obtain the clearance and financial assistance from the government to export to the EU.

 

Ch'ng added if assistance was not available soon, EU importers would turn to other countries to source their seafood.