Vietnam eyes billion-dollar gains from seafood byproducts
Vietnam, one of the world’s top seafood suppliers, is moving to extract more value from processing byproducts, with industry players and officials eyeing a billion-dollar market in fishmeal, pharmaceuticals and consumer goods. Companies push commercial scale
In Ho Chi Minh City, Phuc Loc Co. processes about 60 metric tons of fish waste daily from vessels and plants, producing 4,000-5,000 tons of fishmeal per year. Director Nguyen Thanh Loc said revenues reach VND 72-90 billion (USD 2.8 million – USD 3.5 million), and with greater access to capital and technology, protein content could be lifted to 64%, cutting Vietnam’s fishmeal imports by as much as 140,000 tons annually.
At Tu Hai Co., fish bones once worth only a few cents are now cleaned, dried and exported to Japan at USD 10/kg, generating VND 10-12 billion each year. CEO Dao Quoc Tuan said demand is rising but supply is limited. The Southern Research Institute of Fisheries is also converting low-value crab into canned paste and chitosan powder, which sells for up to USD 1,000/kg in pharmaceutical and agricultural markets.
Beyond feed and industry, byproducts are finding niche uses. Hai Lan Co. in Ba Ria turns discarded shells into souvenirs and jewelry priced from VND 40,000 to VND 20m apiece, and has signed an MoU with OSB Investment & Technology JSC to sell via Alibaba’s e-commerce platform.
Sector forecasts highlight scale
Agriculture and environment authorities forecast huge potential: shrimp heads alone could yield 490,000 tons of food ingredients, pangasius offcuts 100,000 tons, pangasius fat 150,000 tons, and shrimp shells 146,000 tons for animal feed. Fish heads, bones and viscera could add another 900,000 tons annually. High-value segments include 147,000 tons of shrimp heads and shells and 80,000 tons of pangasius skin and bladders for pharmaceuticals and cosmetics.
By 2030, shrimp byproducts are projected to hit 650,000 tons worth USD 80-100 million, while pangasius byproducts could reach 1.3 million tons valued at more than USD 500 million.
Policy shift seen as critical
Pham Thi Na, deputy director of Ho Chi Minh City’s agriculture and environment department, said better utilization could create tens of thousands of jobs, improve Vietnam’s seafood reputation and ease waste pressure.
Pham Quoc Huy, director of the Southern Sub-Institute of Fisheries Research, said byproducts should be developed as a strategic industry, noting global trends toward peptides, bio-enzymes and bioplastics from shrimp shells and fish skin.
Industry experts argue supportive policies, including green credit lines, tax incentives and technology subsidies, along with closer ties between companies, researchers and regulators will be key to turning seafood waste into what they call “green gold,” underpinning Vietnam’s blue economy ambitions.
VFM
