Tuna exports to the UK struggle to sustain growth
After a three-month period of continuous decline, Vietnam's tuna exports to the UK have seen a resurgence.
In June 2024 alone, exports increased by 56%, reaching 742 million USD. However, this recent growth is not sufficient to offset the earlier declines. For the first half of 2024, cumulative export value to the UK stands at 3.6 million USD, down by 5% compared to the same period last year.
Frozen tuna loin (HS Code 03) remains Vietnam’s primary export product to the UK, accounting for 92% of the total exports. This year, the UK has reduced its imports of frozen tuna loin from Vietnam, while imports of other tuna products have increased.
Vietnam is currently the second-largest supplier of frozen tuna loin (HS Code 03) to the UK outside the EU, following South Korea. However, the UK is also reducing its imports of this product group.
In the UK market, tuna is sold in various forms, including pre-cut, ready-to-eat, sushi, in sauces, or breaded. Canned and pouch tuna are the most consumed products. Yet, consumption of these products has been declining since last year. Conversely, demand for sushi tuna and breaded tuna is on the rise. This trend presents an opportunity for countries to boost exports of processed and canned tuna products.
However, in the canned and pouch tuna segment, Ecuador, Mauritius, Seychelles, and the Philippines are the four main suppliers to the UK, with Vietnam being a minor player.
Like Vietnam, Ecuador has signed a Free Trade Agreement (FTA) with the UK, which facilitates its increased exports to this market. With a strong fleet and a substantial supply of pure-origin tuna, Ecuador is well-positioned to expand its exports.
In contrast, Vietnam’s tuna catch is naturally lower due to its less capable fleet. Additionally, restrictions on the allowable size of tuna catches are further reducing production. The lack of sufficient pure-origin tuna for processing and export affects the industry’s ability to maintain growth.
As a result, it is anticipated that Vietnam’s tuna exports to the UK will struggle to sustain their growth trend through the end of the year.
VFM
