A shrimp processing line of the Minh Phu Hau Giang Seafood JSC in the Mekong Delta province of Hau Giang. (Photo: VNA) After surges of 39 - 62% inthe first four months, fishery exports have shown signs of growth slowdown, accordingto the Vietnam Association of Seafood Exporters and Producers (VASEP).
Shipments increased 34% inMay and 18% in June compared to the same period last year. In July, fisheryexports stood at 970 million USD, up 14% from a year earlier but down 4% fromthe previous month.
Le Hang, Deputy Director ofVASEP’s Training and Trade Promotion Centre, blamed the slowdown since May onunfavourable weather as the rainy season came early and impacted fisheryoutput.
Businesses in the industrysaid the inventory in export markets, especially the US - a majorimporter of Vietnamese products, is high as they already imported much betweenJanuary and May.
Export growth is forecast tocontinue decelerating in the third quarter.
The SSI SecuritiesCorporation said prices of Vietnam’s white-legged shrimp in the US arecurrently higher than those of Indian and Ecuadorian products, so it is hardfor exporters to keep the prices as high as in the first half of 2022.
This may affect the grossprofit margin of the shrimp processors who focus on the US market sincematerial prices are predicted to become more expensive in the latter half ofthis year as a result of disease-caused short supplies, SSI noted.
Meanwhile, the Viet DragonSecurities Corporation (VDSC) also forecast tra fish exports will slow down inQ3 before bouncing back in Q4.
However, shipments to Chinamay recover as this country has lifted the temporary suspension of frozen food imports,previously imposed over COVID-19 concerns. China now has great demand for trafish after two years of reducing imports.
The VDSC expected an increase inexports to this large market can help partly make up for the shrinking shipmentsto the US.
Analysts held that demand forfishery products in foreign markets will accelerate in September to prepare forthe holiday season between November and December, but it is unlikely to returnto the peak recorded in the first months of the year./.
VNA
