May 9, 2023
Vietnam's pangasius exports drop by 35% in Q1 2023
Vietnam's pangasius exports fell by 35% to US$422 million in Q1 2023, compared to the same period in 2022 due to a decrease in demand and import prices caused by global food inflation and high inventories, Fish Information & Services reported.
According to Vietnam Association of Seafood Exporters and Producers (VASEP), China and the US, the largest markets for this product, reduced their imports by 22% and 64%, respectively. Although pangasius exports to China recovered slightly in February 2023, exports to the US market remained flat.
Pangasius exports to the EU market in Q1 2023 were down 4% year-on-year to US$45 million. There were some positive signals in many markets, such as Romania, Sweden, Denmark, Bulgaria, Germany, Lithuania, and Finland. In addition to the EU, Vietnam's pangasius exports to Singapore reached US$8.7 million, up 35% year-on-year, while shipments to the UK reached US$16.2 million, up 34% year-on-year.
Most pangasius enterprises in Vietnam had to deal with negative growth compared to the same period last year. The top five largest pangasius exporters, including Vinh Hoan, NAVICO, I.D.I Corp, Van Duc Tien Giang, GODACO, accounting for 34.9% of export turnover, all experienced a decrease in sales by 7% to 43%.
Pangasius processing and exporting enterprises also faced difficulties in terms of raw materials, credit, and production due to the rising costs of inputs from broodstock to feed and other costs. Vietnam's pangasius industry is facing challenges from the end of 2022 due to prolonged inflation and high inventories. Both farmers and export processing enterprises are experiencing a lack of capital to maintain production and business.
Pangasius exports in the coming time are expected to recover in the third quarter of 2023, thanks to trade promotion programmes. Pangasius exports in the future are mainly expected to be shipped to China, some European countries such as the UK, Germany, Portugal, and the Middle East markets.
- Fish Information & Services