Products from the Mekong region continue to spread around the globe

DNHN - The UK's imports of Vietnamese pangasius grew sixfold, helping the export turnover of Mekong goods to cross the US$1 billion mark in June, increasing the overall value to more than US$1.4 billion in the first six months of this year.

The lack of white fish, particularly cod, in the EU, US, and UK markets in 2022 is one of the chances for pangasius. Many restaurants in these markets were forced to remove cod off their menus, and Catfish Vietnam took its place. 

If pangasius exports to the UK climbed by 6 times in the first half of this year compared to the same period in 2021, Spain increased almost three times; France, the Netherlands, Germany, and Belgium increased by 45-90 per cent.

According to a representative of IDI's leadership, the company's export income has almost doubled in the first six months of 2022, with a total turnover of more than $77 million, compared to just over $44 million in the same time last year. This demonstrates that the "sign" of the top TOP export-import enterprise's efforts has "broken the island" in the global seafood export market, allowing it to shortly achieve the revenue and profit milestone of the fiscal year 2022.

The power of pangasius

China and the United States continue to be the primary markets for pangasius, accounting for 32% and 24.5 per cent, respectively. In the first four months of this year, both markets grew by triple digits. China climbed 161 per cent to 306 million USD, while the United States increased 128 per cent to more than 232 million USD.

"Due to great demand and attractive export pricing, Vietnamese pangasius has expanded quickly in markets." After two years of Covid, the "food" in the marketplaces has rebounded dramatically. Furthermore, the armed confrontation between Russia and Ukraine makes the world seafood supply more volatile, particularly white fish products," according to VASEP. Vietnamese seafood companies have taken advantage of exceptional prospects to grow exports and sign contracts at considerably higher rates than in 2021. 

More than a decade ago, the EU was Vietnam's traditional and biggest pangasius export market. However, after reaching a "golden era" in the years 2016-2018, pangasius exports to the EU progressively started to decline. Since the emergence of the COVID-19 pandemic, many importers have had financial problems since the demand for white fish, notably pangasius, has not grown in many regional markets, despite large increases in logistics and shipping costs.

As a result, after a somewhat "weary" time, Vietnamese enterprises began to expand favourably again in early 2022, demonstrating the enormous achievements made by Vietnam's pangasius sector in this traditional market.

Brand new opportunities for the pangasius industry

Pangasius, according to VASEP, is reclaiming its place in the structure of exported aquatic goods. Currently, Vietnam accounts for 90-94 per cent of the global pangasius market share; many businesses have actively signed enough orders by the end of the second quarter of 2022, prepared warehouses, built more high-capacity processing plants, focused resources on farming, diversified pangasius products...

The "satellite" of the pangasius business is similarly busy, having caught the "trend" in time. Leading top companies such as Sao Mai Superfeed, Trisedco, and AFO has declared excellent business successes in areas such as fish meal, fish fat, aquatic food processing, 100 per cent fish cooking oil, Collagen, and canned food processing (fish stomach, fish fins, and fish bubbles).

The plan was recently approved by the 2022 Annual General Meeting of Shareholders, with a total net income of VND 2,300 billion and profit after tax of VND 150 billion, which is 3.3 times greater than the previous year. 

According to a representative of IDI Company's leadership, we have perfected a closed production process, which includes breeding stock, farming areas, providing aquatic food, and a processing facility equipped with contemporary equipment and trained people. System of quality management to assure food safety and cleanliness. This advantage was built many years ago and was reinforced even during the severe Covid pandemic time.

Pangasius exports are on pace to develop well in all markets despite being delayed for two years. New chances are on the way to help organisations who are ready for a new business strategy under the umbrella of a full "scenario" protection.

Phong Lan