February 13, 2012

 

Vietnamese seafood exporters turn to American market

 

 

Vietnamese seafood exports have increasingly turned to US and South American markets after EU demand dropped due to its debt crisis.

 

EU imports have plummeted. Many Vietnamese seafood companies have therefore sent delegations to foreign countries to open new markets, sources said.

 

Deputy chair of the Vietnam Association of Seafood Exporters and Producers (VASEP) Duong Ngoc Minh said the move has been successful.

 

In Q1 2012, pangasius exports to the US, Mexico and Brazil doubled compared to the same period of 2011. Last year, tra exports to the US made up 18% versus 11% on-year with a turnover of US$331.6 million out of US$1.8 billion in total; figures were 7% and 11% for the South America market.

 

"We exported 150 containers of tra fish in the first quarter alone. The South America market alone consumed 70 containers, up by 40% over the previous year", said a representative of Hung Ca.

 

For shrimp and other valuable seafood products, the EU, the US and Asian countries such as Japan and South Korea remain the major markets. With their lower income, consumers in South America and the Middle East cannot afford to eat black tiger shrimp, tuna or octopus.

 

The shrimp industry hit US$2.4 billion in exports in 2011 - up 13% over 2010.

 

Total seafood export revenues touched US$6.1 billion and VASEP has set the target for 2012 at US$6.5 billion.

 

Seafood companies expect the export volume in the first quarter of the year to plunge and exports to the EU to decrease by 20-30%.

 

General Director of Thuan Phuoc Seafood Company Tran Van Linh said that all companies specialising in shrimp and high-grade products have struggled due to the EU's cutbacks in seafood imports.

 

This plus a higher supply have led to lower prices and caused many farmers to worry they may have to quit the business.

 

Linh said he will deal by redesigning products to make them more affordable.

 

"We have received some orders on processed products, transferred from importers from Germany, Spain, the US and France. This is the opportunity to take more jobs which allow increasing the income", Linh added.