August 1, 2012

 

Vietnam's seafood firms have been facing challenges through June 2012, despite the growth of seafood exports at more than US$2.9 billion.

 

Until the end of the year, the fisheries industry's main priority is to support processors in order to keep production going and protecting the jobs of 10,000 workers, thereby stabilising the country's social security.

 

Seafood exports play an important role in developing the entire agriculture industry, as they bring in a huge source of foreign currencies for Vietnam and also generate jobs for locals in processing factories, Ministry of Agriculture and Rural Development (MARD) observed.

 

The government stressed that it is therefore necessary to support the stable growth of seafood exports as 2013 approaches.

 

Accordingly, MARD has submitted to the government a package of US$426.8 million to save businesses and fish farmers with preferential interest rate loans.

 

After a plunge of US$ 0.85 - US$ 0.90 per kilogramme in the middle of July, raw pangasius prices in the Mekong Delta have bounced back to US$1.04 - US$1.07 per kilogramme, which the sector considers a good omen.

 

Higher fish prices mean that farmers can cut their losses and invest to restock, and processors can stock raw fish for processing and exporting, explained Mai Dang Hoa, General Director of Sai Gon-Mekong Fishery Company (SAMEFICO).

 

Meanwhile, Vietnam targets to have revenues of US$11 billion from seafood exports by 2020, said the General Department of Fisheries under MARD.

 

This target is part of the department's growth plan for the fisheries sector in the 2012-2020 period. The sector is expected to enlarge between 8% and 10% during this time frame.

 

Per this plan, the sector will contribute 2.8% to 3% to the country's gross domestic product (GDP) by 2020, with aquatic output projected to be as high as seven million tonnes and seafood production forecast at 2.95 million tonnes.

 

The government has plans to foster prestigious brands and found a network in foreign countries to promote the export of its seafood products, selling them directly to foreign supermarkets and main distributors.