Vietnam's seafood exports up 27.9% in January

Vietnam is estimated to have exported $270 million worth of seafood in the first month of this year, up 27.9% from December of 2009, the General Statistics Office (GSO) said.

But the figure is down US$117 million from a month earlier which was US$387 million, the GSO added.

Currently, Vietnamese seafood processing factories are operating at 50-60% of their full capacity due to serious shortage of materials, the Vietnam Association of Seafood Exporters and Producers (VASEP) said.

VASEP said that low pangasius prices causing loss to local farmers since late 2008 forced them to stop breeding, resulting in decreases in both area and output. Meanwhile, unfavourable weather condition and polluted environment reduced shrimp output in Mekong Delta region, the largest pangasius and shrimp rearing area in Vietnam.

The weak supplies have pushed materials prices up in the region, with pangasius fish being offered at VND16,800-VND17,000/kg (US$0.90-0.92/kg), and prices of prawn shrimp rose by VND25,000-VND30,000/kg (US$1.35-1.62/kg).

The VASEP forecast that the factories will face material shortages by the end of March.