In the first five months of 2023, shrimp export value reached USD 1.2 billion, down 34% from the same period last year. A USD 331 million worth was achieved in May alone, down 28%.
A double-digit decrease was recorded in key markets in May, except for the UK and Taiwan with reports of positive growth. In May 2023, China was the biggest importer of Vietnamese shrimps, giving it a share of 23% while the US was the second with a 21% share.
As of May, China and the US showed a month-on-month growth in import value of Vietnamese shrimps. A negative growth was recorded in sales to the Chinese market in May, but with a slower rate as compared to previous months (-40% in March, -22% in April, and -11% in May).
Likewise, Vietnamese shrimp export volume to the US reached 521 million pounds (about 236,039 tons) in the first four months, down 18% year on year, according to DOC. In April 2023, an increase in sales of some Vietnamese shrimp products was recorded in the US as compared to March 2023, such as whole shrimp material (+211%), peeled shrimp material (+46%), steamed shrimp (+13%), and powdered shrimp (+20%).
Pandemic and war resulted in a global economic downturn and high inflation. Thus, people cut expenses and select cheap food. These are the reasons why demand for shrimp reduces and global supply increases, especially from Ecuador and India. Indonesia and Ecuador harvest shrimps early and sell shrimps at 1-2 USD/kg cheaper prices than Vietnam, leaving difficulties faced by Vietnamese shrimp exporters in looking for orders. Meanwhile, domestic prices of shrimp materials have reduced constantly over the last months.
Given the situation, businesses hope that the State Bank of Vietnam continues to consider and approve the stimulus package valued at 10,000 billion dong for aquaculture in the Mekong Delta.
VFM
