April 27, 2023
Vietnam's pangasius exports fall 35% in Q1 2023
Vietnam's pangasius exports have brought in US$422 million in the first quarter of this year, down by 35% compared to the same period last year, Fish Information & Services reported.
The decrease in demand and import prices caused by global food inflation and a large inventory has affected the export sales of Vietnamese pangasius in many major markets. Vietnam's two largest markets, China and the US, both reduced imports of pangasius. Imports to China is down 22%, and to the US is down 64%.
Vietnam's pangasius exports to China increased by 26% in February 2023, showing a positive signal from the Chinese market after a deep decline in January 2023. Exports to the EU also had a positive signal, with the German market doubling imports of Vietnam pangasius. But the US import market of Vietnam pangasius has not shown any signs of recovery, and many other markets suffered a deep drop of 12-61%.
In the first quarter of 2023, Vietnam's pangasius export turnover to the EU market reached $45 million, down 4% compared to the same period last year. Most markets in the EU increased imports of Vietnam pangasius, of which many markets recorded double-digit growth.
In addition to the EU, Vietnam's pangasius export turnover to some other markets in the first quarter of 2023 also recorded positive growth, such as Singapore reaching US$8.7 million, up 35% over the same period last year, and exports to the UK reached US$16.2 million, up 34%.
The top 5 largest pangasius exporters, including Vinh Hoan, NAVICO, I.D.I Corp, Van Duc Tien Giang, and GODACO, all experienced a decrease in sales by 7% to 43%. The seafood industry, in general, and Vietnam's pangasius industry, face challenges due to prolonged inflation and high inventories of retailers. Pangasius processing and exporting enterprises also face difficulties in terms of raw materials, credit, and production.
Vietnamese pangasius exports in the future are expected to ship to China, some European countries such as the UK, Germany, Portugal, and the Middle East markets. Pangasius exports are expected to recover in the third quarter of 2023, thanks to trade and promotion programmes.