Tra fish industry faces challenges in production and export
The domestic tra fish industry has faced challenges regarding the purchasing price on the domestic market as well exports due to high tariffs on the product in the US market, according to the Ministry of Agriculture and Rural Development (MARD).
A corner of tra fish processing line at the Multinational Investment and Development Joint Stock Company of Sao Mai Group. (Source: VNA)Hanoi (VNS/VNA) - The domestic tra fish industry has faced challenges regarding the purchasing price on the domestic market as well exports due to high tariffs on the product in the US market, according to the Ministry of Agriculture and Rural Development (MARD).
In May, the purchasing price of tra fish continued to decline in the Mekong Delta region, especially An Giang and Dong Thap provinces, the two largest tra fish producers and exporters in the region, said the ministry.
The tra fish price in the region dropped by 1,000 VND per kilo to 23,500-24,000 VND at the end of May and continued falling to 20,000-21,000 VND per kilo.
According to MARD's Department of Farm Produce Processing and Development, the low price is due to firms raising their own fish instead of buying from farmers. Processing companies have not signed any more export contracts.
Last year, Vietnam recorded a tra fish export value of 2.3 billion USD. With the high export value, farmers gained profits of about 10,000 VND per kilo.
The high profit makes farmers to increase supply, he said, which has hit the purchasing price.
The reduction in the price of tra fish has also impacted the demand and price of fingerlings. For instance, the price for fingerlings of tra fish dropped to 20,000-25,000 VND per kilo from 70,000 VND at the beginning of this year.
The ministry also said the tra fish industry has seen a reduction in exports since April after gaining at the start of the year, especially in exports to the US.
However, the industry could expect to see more export opportunities to 10 member countries of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) because local export seafood products will enjoy zero tariffs.
According to the Vietnam Association of Seafood Exporters and Producers (VASEP), in 2018, the export value of tra fish to the 10 CPTPP countries reached 328.3 million USD, up 17.3 percent year on year.
Now, Mexico is the fifth largest importer of Vietnamese tra fish, after mainland China, Hong Kong, the EU, US and ASEAN. The export value of tra and basa catfish to Mexico in the first four months of this year surged 31.5 percent year-on-year to 40.8 million USD. This is also the largest export market of Vietnamese tra fish in Latin America and in the 10 CPTPP countries.
Japan is also a promising market for local tra fish.
The total export value of Vietnamese tra fish to Japan increased by 37.6 percent year on year in 2018 and continued growth at 38.6 percent year on year to 8.58 million USD in the first four months of this year. — VNS/VNA
You should also see
Vietnam - largest Southeast Asian trade partner of Canada: Ambassador
The positive relationship between Canada and Vietnam is strong and growing every year, Canadian Ambassador to Vietnam Deborah Paul told the Vietnam News Agency in an interview on the occasion of the Lunar New Year (Tet), the most important festival of the Vietnamese people in a year.
See more
Business
Foreign investment inflow into Vietnam rises 4.2 percent in January
The inflow of foreign investment into Vietnam hit over 2.1 billion as of January 20, up 4.2 percent year-on-year, marking good signals for the country's investment attraction, the latest report from the Foreign Investment Agency (FIA) showed.
Business
Vietnam needs to better sovereign credit ratings: ministry
As Vietnam has become a middle-income country and will gradually depend more on foreign commercial loans, the improvement of the sovereign credit ratings will help the Government, businesses, and financial and credit institutions be more cost-effective when mobilising loans or issuing bonds to international capital markets, according to the Ministry of Finance.
Business
Vietnam emerges as attractive destination for startups
A record high of 1.35 billion USD was poured into Vietnamese startups last year, making the country among the most attractive destinations for startups in the region.
Business
Shares finish higher in final session prior to Tet holiday
Shares finished higher during the final trading session prior to the Tet holiday on January 28, propped up by the growth of banking and textile stocks.
Business
Value added tax cut to assist socio-economic recovery
The value added tax (VAT) will be reduced by 2 percentage points to 8 percent starting this February as part of measures helping taxpayers tackle difficulties.
