September 8, 2010

Ecuador's shrimp exports decline 15.86% in Jan-June

Between January and June of 2010, foreign shipments of shrimp products with added value decreased by 15.86% compared to the same period last year.

During the first half of the year, exports totaled US$2.28 million, whilst during the exact same period last year, it amounted to US$2.71 million.

According to Cesar Monge, president of the National Chamber of Aquaculture (CNA), this decrease is due to the economies of major export markets for shrimp, such as the US and European countries, not having completely recovered from the world economic crisis which began in late 2008.

This situation led to the increase in final consumer prices, which in turn led to reduced sales as people are limited to buying products that are included in their basic food basket, said Monge.

The main shrimp based export products are those which are breaded, skewered, frozen or ready to be consumed.

Meanwhile, Rodrigo Ladiado, export executive at SONGA, explained how they are only using around 10% of the total production, approximately three million pounds of shrimp.

However, Ladiado said that the sale of processed shrimp is currently stationary, and that the decline in overseas shipments is mainly due to other countries that also produce shrimp marketing them at a much lower price.

On the other hand, the domestic shrimp industry has been undergoing a process of adjustment since April this year.

The CNA intends to help shrimp producers, which are part of the period of extension for the regulatory process of harvesting shrimp, to avoid being evicted. To this end, they requested that the government advise farmers on legal and environmental issues.

In June, the government decided that farmers who use plots of 0-10 hectares would have three months to legalise their activities.