July 19, 2007

China's rising shrimp consumption offsets declines in exports

China is changing from a net shrimp exporter to a net importer with more than 80 percent of Vannamei shrimp farmed in China now being consumed locally.

While China's shrimp production has grown in leaps and bounds, imports have been on the rise too.

Chinese production of Vannamei accelerated in 2000 and now 90 per cent of shrimp farms grow the species.

Productivity is reaching near one million tonnes a year, or half of the world's total production.

China's shrimp imports have crept up steadily since the first half of the 1990s. Imports expanded in line with the country's economic growth. The Olympic Games in Beijing would likely push the market further.

Although exports grew slightly in 2003, it declined steadily after the detection of banned antibiotic residues in some shipments,

On top of anti-dumping duties, there is currently a ban on China's shrimps imposed by the US. Analysts say exports to the US would not be likely to pick up even after the ban.

Still, without the US market, there would still be growing demand locally and from Japan, experts said.