Vietnam’s shrimp exports to the US and China tend to increase

In July 2023, Vietnam’s shrimp exports reached more than US$320 million, down 16% compared to the same period last year. The 16% drop in July was the lowest since the start of the year. By July 2023, shrimp exports reached US$1.9 billion, down 30% over the same period.

Regarding exported products, the decline in export value was more significant for processed vannamei and black tiger shrimp products when compared to fresh and frozen products. Notably, only exports of canned and dried shrimp showed an increase in value, the export value of the remaining shrimp products all experienced a decrease at double digits.

In July this year, exports to major markets such as Japan, EU, Korea, UK, and Australia continued to record negative growth from 15%-46% while  exports to some small markets such as Singapore, Taiwan,and Switzerland still maintained positive growth from 18%-63%. The highlight in July this year was the positive growth in shrimp export turnover to the US and China & HK.

After continuous drop during the first 6 months of the year, shrimp exports to the US in July recorded the first positive growth milestone with an increase of 14%. Shrimp exports to China & HK also had positive sign since the beginning of the year with a rise of 49%.

Vietnam’s shrimp exports to China & HK in July 2023 reached US$57 million, up 49% over the same period in 2022. In the first 7 months of this year, shrimp exports to this market reached US$338 million, down 9 % over the same period.

Accoring to data from China Customs, China’s warm water shrimp imports in the first 6 months of this year increased by 49% year-on-year to 502,669 tons. Total import value increased 29% to US$2.84 billion. This shows that China’s shrimp demand is strong despite the slow economic recovery after the COVID-19 pandemic.

In the first half of this year, Ecuador continued to boost exports to China. After Ecuador promotes the export of cheap inventories with limited harvest due to weather, supply of shrimp from Ecuador to China in the last months of the year will tend to decrease. Demand in the Chinese market in the second half of this year is expected to be good, so it creates good conditions for Vietnam’s shrimp exports to China in the last months of this year to rise.

Vietnam’s shrimp exports to the US in July this year reached US$76 million, up 14% over the same period in 2022. Accumulated in the first 7 months, shrimp exports to this market reached US$375 million, down 32%.

The US imported a total of 361,693 tons of shrimp, worth $3 billion in the first 6 months of 2023, down 18% in volume and 29% in value over the same period last year. The average shrimp price in the first half of 2023 reached 8.29 USD/kg, down 13% compared to the same period last year (9.52 USD/kg).

India was the largest shrimp supplier to the US in the first 6 months of 2023, with a total of 129,260 tons of shrimp exported to this market, worth $1 billion, down 15% in volume and 27% in value over the same period. In June, the US imported only 23,274 tons of Indian shrimp, worth US$183.5 million, down 26% in volume and 37% in value. The average price is about 7.88 USD/kg, 14% lower than the same period last year.

Although still facing many difficulties, the growth from the US and China markets in July shows that the demand from the large consumer market is showing signs of “warming”.

In the second half of this year, through the peak of the season, the supply decreased, the shrimp price was also near the bottom, importers were motivated to buy and hoard. During the festive season, deeply processed goods that are easier to consume are also an advantage for Vietnamese shrimp.

Positive signals from the US and Chinese markets, businesses have also prepared for the year-end acceleration, along with the support to create conditions for businesses from the Government, ministries and sectors, expected a decrease in shrimp export turnover in the months of the third quarter of 2023 will gradually shrink over the same period and may recover in the last quarter of the year.

(Source: https://seafood.vasep.com.vn/)

https://seafood.vasep.com.vn/key-seafood-sectors/shrimp/news/vietnam-s-shrimp-exports-to-the-us-and-china-tend-to-increase-28737.html