May 23, 2008

Shrimp imports fall in the US, driving exporters to seek alternative markets  

While prices of major commodities are rising, shrimp prices seem to be the only item heading down.

Despite lower prices, the US is seeing less of the product as economic realities and consumer concerns hit home.

Last year, shrimp imports by the US fell nearly 6 percent over the previous year to around 557,000 tonnes, the first decline in 11 years.

High profile media coverage on questionable safety of Chinese goods had lowered Chinese shrimp consumption in the US while the anti-dumping tariffs also deterred any increase in imports.

The sub-prime crisis in the US, the economic slowdown and higher food and energy prices also resulted in lower consumption for high grade shrimp.

However, shrimp demand has been expanding in China, the EU and resource-rich regions, such as Russia and the Middle East.

Analysts note that the movement of shrimp toward newly emerging countries may symbolize the changes in the driving force in the world's economy and the shift of income.