According to VASEP, there are 3 biggest reasons why Vietnam’s seafood exports have decreased by 30% since the beginning of the year compared to the same period last year.
Firstly, the increase in inflation and inventories causes the demand for consumption and imports in the markets to decrease,
Second, intense competition with other producing countries in terms of supply and price, typically Ecuador, India…
Thirdly, the health and stamina of farmers, fishermen and seafood enterprises are weakened because production costs increase, selling prices decrease, consumption slows, inventories increase, capital is exhausted and it is difficult to access loans. to maintain production – export…
The fluctuations in supply-demand stem from war and inflation, so far there have been no positive signals, so the forecast about the market also lacks basis and certainty.
In some large markets such as the US and EU, in addition to expecting more positive economic and inflation trends, the big problem is solving inventories. In 2022, these markets imported massively, and before they could consume, they immediately encountered an inflation shock, so there was a lot of inventory, and the selling price was low.
EXPECTATIONS OF SEAFOOD EXPORT RECOVERY
The number of export orders is increasing, many businesses have started to work overtime to meet the needs of the market. It is expected that by the end of the third quarter of 2023, seafood exports will recover to the same level as in 2022. This is the basis for the seafood industry to achieve the export plan of 10 billion USD for the whole year.
VASEP expects that, in the second half of this year, seafood exports will be better because orders are gradually increasing to serve the summer and year-end holidays. Hope our information is useful for your purchasing decision. We look forward to discussing further with you!
Made by: Viet Nam Fishes team
