Experts estimate that seafood shipments to the US market will fall by the end of the year

DNHN - Mr Nguyen Hoai Nam, Deputy General Secretary of the Vietnam Association of Seafood Exporters and Producers (VASEP), stated at the CEO Forum "Removing Difficulties for Seafood Enterprises - An Insider's Perspective" recently held in Ho Chi Minh City that currently, seafood materials from other countries are increasing strongly, which may cause import prices in the US to decrease, and there is also fierce competition among suppliers.

Mr Nguyen Hoai Nam, Deputy Secretary-General of the Vietnam Association of Seafood Exporters and Producers (VASEP), stated at the CEO Forum "Removing Difficulties for Seafood Enterprises - An Insider's Perspective" recently held in Ho Chi Minh City that seafood raw materials from other countries are increasing rapidly, which may cause import prices in the US to fall, and there is also fierce competition among suppliers.

Seafood exports to the United States totalled approximately 1.1 billion USD in the first five months of the year, a 65 per cent increase over the same time the previous year. Shrimp, fish, and bivalve mollusc exports to this market have consistently climbed by double digits, while pangasius exports to the US have increased by 131 per cent.

Vietnam is a major supplier of meat and shrimp to the United States. Total shrimp shipments to the United States reached approximately 390 million USD, up 32% from the same time the previous year, and accounted for 21% of the market.

In terms of tuna, Vietnam sells 74 per cent of its frozen loin/fillet to the United States. Tuna shipments to the United States hit 251 million USD in the first five months of this year, more than doubling from the same time the previous year.

The unexpected surge in shrimp and fish exports to the United States was caused by a fall in catfish production in the country, high inflation, and the completion of the 17th anti-dumping tax review in favour of pangasius firms. 

Simultaneously, the number of pangasius firms permitted to export to the United States expanded. Furthermore, the high cost of imported seafood contributes to an increase in export value to the United States.

Seafood exports to the United States are rising "strong," but VASEP predicts that this growth will moderate in the second half of the year.

Lower prices connected with big supplies of seafood make importers more hesitant to purchase in bulk. Another large buy will now have to wait until the beginning of the third quarter when the US market prepares for Thanksgiving.

Another reason for prudence in purchasing is logistical issues including high transportation costs, long shipment times, and a scarcity of shipping containers. It's also becoming more difficult for multinational businesses to keep up with growing energy costs.

Anh Khang