June 16, 2010

Vietnam's seafood firms should not further lessen export prices of tra fish to the US, otherwise they will face antidumping tariff from the importing country, reports say.

Vietnamese tra fish is likely to be subjected to the tariff as its retail prices continued falling while market share has kept rising in the US since 2008, said Andrew B. Schroth, consultant for Vietnamese firms on antidumping tariff lawsuits.

Vietnamese tra fish prices were averaging at US$1.45/pound in the first quarter of this year, dropping 23% from the same period of 2009, and 26% from 2008.

Meanwhile, it made up nearly 80% of total tra fish import volume to the US in the period, compared to the share of 63% in Q1 2008, Schroth added, citing statistics from the US Department of Customs.

The US Congress will give the Department of Agriculture a hearing about the amended Farm Bill in July that intends to define Vietnamese tra fish as catfish.

Vietnam Association of Seafood Exporters and Producers (VASEP) has also warned local firms not to lower the prices further to avoid investigations by the US departments, Chairman of the association Tran Thien Hai said.

Vietnam exported 248,000 tonnes of tra fish worth US$533 million in the first five months of 2010, according to VASEP figures.

The US was the second biggest importer after EU bloc with total revenues of US$52 million in the Jan-May period.

Meanwhile, EU imported 87,700 tonnes valued at US$203 million, up nearly 10% in volume and 2.3% in value from a year earlier.