May 5, 2009

Shrinking international demand has tanked Panama's shrimp export sales by 59.9 percent in the year's first quarter compared to the same period last year.

According to statistics released by the General Comptroller of the Republic of Panama, shrimp larvae exports also sank 96.8 percent between January and March, against the same quarter in 2008.

The Panama Aquatic Resources Authority (ARAP) attributed diminished shrimp and larvae exports to "weak demand" on the international market brought on by the global economic crisis.

Official figures indicate that the exports of shrimp and shrimp larvae generated US$5.12 billion and US$30,000, respectively, in the first quarter of 2008.

Meanwhile, according to media reports, the export of shrimp fell to US$2.06 billion and that of larvae to US$1 billion in the year's first quarter.

In spite of this sombre outlook, Panamanian Aquaculturists Association (ASPAC) president Hans Hammerschlag highlighted the fact that shrimp exports are beginning to recover from a fall registered in the markets of Europe and the US.

Hammerschlag added that shrimp exports also lapsed under new bank credit restrictions.

ARAP stated that the export of Panamanian shrimp to the US market fell by 20 percent this past year, about US$10 million as a result of the financial crisis.

The country's shrimp sales to the US market generate close to US$50 million annually.