January 8, 2010
Thai shrimp exports to Korea promising
Thai shrimp exports to South Korea should expand this year after Seoul lifted its tight inspection measures due to safety concerns.
The measures lasted for six months from July 1 to December 31, 2009 after Seoul's National Fisheries Products Quality Inspection Service agency found antibiotic residue in Thai fishery products imported from China, Taiwan, Japan, North Korea, Vietnam, Indonesia, the Seychelles and Thailand early last year.
According to Wichak Wisetnoi, the director-general of the Thai Foreign Trade Department, quarantine measures cause the quality of frozen shrimp to deteriorate.
Further, laboratory tests found no antibiotic residue in Thai shrimp, but tests did show residue in products imported from Taiwan, Japan, China, North Korea, Saudi Arabia, Colombia, Indonesia and Vietnam.
Seoul extended tight inspection measures on those eight countries for six months from January this year.
"As products from Vietnam and China, which are Thailand's competitors, are still subject to tight inspection measures, Thai shrimp should definitely see export opportunities improve," said Wichak.
He added that Thai shrimp prospects in South Korea are bright as the Asean-South Korea free trade area agreement comes into effect early this year.
For the first 11 months of 2009, South Korea imported a total of 86,435 tonnes of frozen shrimp worth US$365.72 million. China controlled 25.53% of the imports, accounting for 36,979 tonnes, followed by Russia with 12,863 tonnes, Vietnam with 10,937 tonnes and Thailand with 8,410 tonnes fetching US$44.86 million.
For the 11-month period, Thailand exported 364,350 tonnes of shrimp and shrimp products worth THB85.42 billion, a rise of 10.54% and 10.95% respectively.
The US market claimed the highest share, accounting for 172,433 tonnes worth 42.10 billion baht, up 3.39% and 6.47% respectively.
Shipments of shrimp and shrimp products to South Korea fell both in volume and value, with volume dropping 14.77% to 9,884 tonnes and value down 14.35% to THB1.81 billion.