July 7, 2010

Chinese tilapia prices to increase

Exporters of tilapia products in China predict that there will be a rise in export prices in the second half of this year.

This upward trend follows a number of factors, including the decline in production volume of cultured tilapia and higher operating costs for producers.

The lower production of tilapia is a result of the cold wave that hit southern China region from late 2009 through the first quarter of 2010. Low temperatures killed many tilapia fingerlings, with mortality rates in some areas reported to be up to 50%.

It is estimated that the production of tilapia in the country could decrease between 20%-30%, reports said.

Another factor that is affecting prices is rising feed cost. Prices of fish meal and corn have increased significantly in the past year. This coupled with a hike in logistic cost, have lifted operating costs for tilapia producers.