Vietnam’s shrimp industry fears being left behind by Ecuador, India

Vietnam's shrimp industry is concerned about falling behind Ecuador and India, as longstanding internal weaknesses continue to plague its progress.

Reduced global demand and increased competition from Ecuador and India, which offer lower-priced shrimp, are taking a toll on Vietnam's shrimp industry. Between January and May 2023, Vietnam exported shrimp worth USD 1.2 billion (EUR 1.07 billion), a 34 percent year-over-year decline. In May, sales fell 28 percent year-on-year to USD 331 million (EUR 295 million), with China and the U.S. remaining the top two markets for Vietnamese shrimp.

Between January and April 2023, Vietnam exported shrimp worth USD 887 million (EUR 817.9 million), a 36 percent year-over-year decline. Exports to the U.S. dropped 45 percent to USD 159 million (EUR 146.6 million), while shipments to Japan fell 28 percent to USD 146 million (EUR 134.6 million). Vietnam’s shrimp exports to China (including Hong Kong) declined 27 percent to USD 136 million (EUR 125.4 million), and South Korean exports sunk 30 percent to USD 105 million (EUR 96.8 million).

The dropoff steepened in April, with Vietnam's shrimp exports cratering 35 percent in value year-over-year to USD 287 million (EUR 264.6 million), including a 42 percent drop in U.S. exports to USD 55 million (EUR 50.7 million) and a 26 percent drop in exports to Japan, falling to USD 41 million (EUR 37.8 million), according to data from Vietnam Association of Seafood Exporters and Producers (VASEP).

The Chinese market, which had been looked at as having great promise following the end of its zero-Covid policy in November 2022 …

Photo courtesy of David Nguyen VN/Shutterstock