Recovery signs for Vietnam shrimp production, exports

During the first two months of this year, Vietnam's shrimp production and prices showed signs of recovery. The weak supply in February and rising demand for processing and exports pushed raw shrimp prices sharply up from the previous month.

At this time, most of the shrimp farming ponds in the Cuu Long River Delta (Mekong Delta) are in the stage of reclamation waiting for favorable weather to feed shrimp for new crop.

Shrimp prices increased slightly after the quite long Lunar New Year holiday, when shrimp processors rushed to purchase raw materials to process and export.

According to reports from Mekong Delta provinces, brackish-water shrimp farming area and production expanded in the first two months. Black tiger shrimp farming area is estimated to reach 413,674 hectares, an increase of 0.2%, with output expected at about 22,377 tonnes. White-leg shrimp farming area is estimated to reach 10,178 ha, and yield at 9,491 tonnes.

In Ca Mau province, prices of black-tiger shrimp sized 20 pieces/kilogramme increased by 10,000 Vietnamese dong to VND290,000 (US$13) per kg; size 30 pcs/kg up by VND20,000 to VND 230,000/kg; size 40 pcs/per kg by VND5,000 to VND160,000 ($7.18)/kg. Prices for white-leg shrimp size 70 pc/kg increased from VND138,000 to VND140,000 ($6.29)/kg, while shrimp of size 100 pcs/kg was priced at VND115,000 ($5.16)/kg.

The recovery signals of domestic shrimp production in January-February should create the momentum to push exports of shrimp to importing markets, particularly those with which Vietnam has signed free trade agreements and the Trans-Pacific Partnership pact, as well as the Asean Economic Community, which took shape end of December last year.

To promote shrimp production, the Directorate of Fisheries has plans for production of brackish-water shrimp this year. Black-tiger shrimp farming area is expected to remain stable at 600,000 hectares (up 1% from 2015). Output is seen to reach 280,000 tonnes, an increase of 4.4% from 2015.

Source: VASEP