The export of aquatic products will thrive in the future

At the beginning of 2016, the processing and export of aquatic products in the Mekong Delta provinces are very positive. Right after the Lunar New Year Holiday, all businesses have started mass production to meet the orders of partners.
At present, shrimp materials for processing are lacking causing many difficulties for enterprises
Mr. Le Minh Tam, Deputy General Director of Trung Son Food Joint Stock Company, said that from the end of last week, we have concentrated workers to clean machines and equipment, to the official working day (15/2 ) will soon start working on the delivery schedule.
The good news is that at this time we have enough orders for production and business activities until the end of 2016, now just concern about processing to timely delivery to customers. At the company’s processing plant in Kien Luong district, we have 600 workers, is expected to recruit 200 more workers.
Regarding processing materials, we are active from ponds, now stocked, workers work continuously during Tet holidays to take care. In addition, there is also enough shrimp source in the cold store (more than 1,000 tons) to maintain the operation of the plant for about two months.
According to Mr.Tam, the company’s 2016 plan is to bring 100% of its designed capacity to Kien Luong, with an estimated export turnover of US $ 20 million (US $ 12 million in 2015).
“The development direction of the company is to invest in a closed chain from raw materials to processing and export. At the same time investing in technology to improve value added rather than running after output, “said Tam.
In Ca Mau,the year 2015 is considered as a difficult year for aquaculture, from the development of fish farming of local people to export seafood of enterprises are facing many difficulties. Basically, the value of seafood exports of all units decreased. In Ca Mau, the value of seafood exports of the province is only about 960 million USD. In fact, the province’s export turnover is less than 80% of the plan, down nearly 20% compared to 2014.
Mr. Ngo Thanh Linh, Secretary General of Ca Mau seafood Exporters Association assessed that the seafood export situation in the last year was the worst in many years.
The main reason for this is due to countries adjusting their currency exchange rates. In 2015, many countries carry out many adjustments of exchange rates,decreasing against the dollar, such as China, India, Indonesia. Since then, the price of shrimp in Vietnam is more expensive than the price of shrimp in the above countries. This also led to strong buying in the EU, Japan and South Korea.
Another cause is the abundant supply of aquaculture in the world market; China increased by 500,000 tonnes, India increased by 130,000 tonnes, Indonesia increased by 100,000 tonnes, Thailand increased by 80,000 tonnes, Ecuador increased by 50,000 tonnes, resulting in fiercer price competition. Meanwhile, the cost of shrimp production in Vietnam is higher than other countries, farmers are not interested in investment.
However, the price of shrimp materials is higher than the same period, the export market is quite stable. Specifically, Ca Mau Association of Seafood Exporters (Casep) said that in the beginning of 2016, the aquaculture export situation has made good progress, estimated export aquaculture of the above enterprises In the first half of 2016, the value of aquaculture was estimated at $ 75 million, higher than the same period of $ 20 million.
Based on that, Ngo Thanh Linh said, 2016 exports will thrive. However, Mr. Linh still concern that nowadays there are very little farmers, and shrimp supply is not enough. To overcome this situation, Mr. Linh suggested, it is nesscary to have appropriate measures to reduce input prices in aquaculture.
“Oil prices fell, many commodities price went down. But I find it strange that the prices of materials and aquatic veterinary drugs are maintained and increased. At present, our food prices are about 30% higher than India, what reasons for this problem? The industry needs to solve this problem to save the farmers and revive the aquaculture, “he said.
Being the leading seafood importer and exporter in the past year, the export value of Minh Phu Seafood Import-Export Corporation decreased by 30%, only reached USD 500 million. On the overall situation, a leader of Minh Phu Company said that although the export in the first period of this year was better than the same period, difficulties still exist, especially the supply of raw materials is lacking quite a lot. .
He said that, this year is still challenging, the seafood export enterprises need to overcome. TPP will bring positive signals for the seafood export sector, though, it is difficult, when our conditions do not meet the “hard” standards of the market.
Though it is difficult , according to the leading group of seafood export, the situation this year will be better than last year.