Vietnam’s shrimp exports to Europe are forecast to be difficult in 2024, however, this is an opportunity for Vietnam’s shrimp to increase exports in China, Japan, and Korea.
According to the Vietnam Association of Seafood Exporters and Producers (VASEP), in 2023, Vietnam’s shrimp exports faced high inflation in many export markets, reduced purchasing power and prices as well as fierce competition from Ecuador and India. Vietnam’s shrimp exports in 2023 reached 3.4 billion USD, down 22% compared to 2022.
Shrimp exports are forecast to reach 4-4.2 billion USD in 2024.
SHRIMP EXPORTS ARE FAVORABLE IN JAPAN AND CHINA
In 2023, shrimp exports to Japan reached 511 million USD, down 24% compared to 2022. However, in the last month of 2023, shrimp exports to the Japanese market recorded an increase of 6% over the same period in 2022. This market is believed to have a lot of potential and will recover sooner than other major markets such as the US and the EU in 2024.
Vietnam’s shrimp exports to China and Hong Kong in 2023 reached 607 million USD, down 8% compared to 2022.
China’s demand for shrimp import has increased sharply, however, too many suppliers “rushing” into this market with low prices makes it difficult for Vietnam’s shrimp to compete on price.
EXPORTS TO THE EU AND US MARKETS WILL STILL FACE DIFFICULTIES
It is forecast that Vietnam’s shrimp exports to the US will increase slightly in 2024 when the demand for food and drink improves, inflation cools down, and retail sales in the US recover.
In 2023, Vietnam’s shrimp exports to the EU reached 421 million USD, down 39% compared to 2022. Vietnam’s competitors in this market include Ecuador and India. Here, Vietnam’s shrimp still retains the advantage in the high-end segment. However, with the current economic and political uncertainties, the EU market will not be able to recover for most of 2024.
EMISSION REDUCTION FARMING AND PROCESSING: SUSTAINABLE DIRECTION FOR SHRIMP EXPORTS
VASEP forecasts that the shrimp export situation in 2024 will be positive. Global shrimp supply continues to grow steadily, especially from Ecuador, however, Ecuador’s shrimp production also declines slightly in 2024. Vietnam’s shrimp exports will recover and increase slightly by 10-15% this year. Demand is expected to recover from the last six months of the year when inflation cools down and the inventories of importers decrease. This is an opportunity for shrimp prices to rise again.
However, there are many challenges for the industry in 2024 such as trade barriers, competition for consumption, and rising prices of input materials. The solution is to find potential partners, expand the market, invest in technology and equipment innovation, and improve the competitiveness of products./.