NEWSLETTER- March
THE PRICE OF RAW PANGASIUS REACHED A RECORD LEVEL
In recent days, in many areas of the Mekong Delta, pangasius with commercial sizes from 800 grams/pcs to 1200 grams/pcs costs 30,000 VND/kg to 32,000 VND/kg, even up to 34,000 VND/kg in some places. An increase of 10,000VND/kg to 12,000VND/kg compared to 2021.
Source: Vietnambiz
Why is the price of pangasius so high?
Serious Shortage Of Input Materials
Experts said: because the Covid-19 epidemic has lasted for more than 2 years, pangasius cannot be harvested, farmers have to keep it in ponds, affecting the new stocking plan. From July to September 2021 when the West of Vietnam fell into an epidemic crisis, the pangasius industry was affected quite badly. The fish ponds only maintain, limit feeding and people do not dare to stock more because of price risks and risks from disruption of input supply chains.
In addition, the price of feed continuously increased, the purchase price of pangasius decreased deeply and for a long time, most of the farming households suffered losses and fell into debt. Many people were forced to sell their land, while others changed the purpose to raising other types of aquatic products or filling ponds to return to growing rice and fruit trees. The weather changes erratically, the source of quality seed is increasingly scarce, affecting production efficiency. Therefore, when exports recover and accelerate, there is a shortage of input materials.
“It is expected that this year pangasius production may be short of 20%,” said Mr. Hoe – General Secretary of VASEP Association. Previously, at the end of the year, VASEP also warned of the risk of shortage of raw fish in the first quarter of this year.
The import market recovers, the demand for pangasius increases
Besides, the Covid-19 epidemic is gradually being controlled, pangasius exports are operating stably, so the volume of goods at pangasius processing enterprises is back to strong consumption. The market for this product has shown many signs of improvement, in which the markets of China, the US, the EU, Southeast Asia… “Many markets are in high demand to import pangasius, especially the US. . Therefore, it is forecasted that this year, the price of raw pangasius will increase sharply,” said Mr. Duong Nghia Quoc – Chairman of the Vietnam Pangasius Association.
Import market recovered, grew well; in which mainly in 4 main groups including China (31%), US (23%), CPTPP (13%), and EU (6.6%),…
Currently, businesses in the Mekong Delta are exporting pangasius fillets to some EU countries for about 3.5 USD/kg, the Chinese market is about 3.2 USD/kg to 3.4 USD/kg. , especially for the US market, due to high quality requirements, the export price is from 6 USD/kg or more…. This is the highest export price of pangasius in the past 2 years.
According to VASEP, it is forecasted that the export value of pangasius to the US market in the coming time will continue to grow strongly. Because many businesses were allowed to export to the US with 0% tax, while before, only 2 businesses were allowed.
Petrol prices have increased, the world price of marine fish has increased, and sea fishing has also been and will continue to be limited, so Vietnam’s freshwater farmed fish (pangasius) will have a better place in the world market.
It takes 7-8 months for pangasius to reach commercial value. Since the social distancing in Vietnam is October 2021, when farmers start stocking again, by June – July 2022, the fish will reach commercial size, but this period many businesses have already prepared. Planning to buy for Christmas and New Year
Therefore, if the demand for pangasius remains high and there are no new fluctuations in the market, the price of pangasius will remain stable at a high level and it will be difficult to reduce the price like in 2021.
For more information please visit:
https://vasep.com.vn/san-pham-xuat-khau/ca-tra
Made by: Viet Nam Fishes Team
