AsemconnectVietnam - According to Ms. Le Hang, Communications Director of the Vietnam Association of Seafood Exporters and Producers (VASEP), in January of 2024, Vietnam's seafood exports reached nearly 750 million USD, an increase of 64% over the same period last year.

According to the Department of Foreign Trade, Ministry of Industry and Trade, Vietnam's seafood exports in January of 2024 increased by 60.8% over the same period and reached 730 million USD, which is a positive sign for the year.
Seafood exports showed signs of recovery from the end of 2023 and are likely to recover again in 2024, especially in the second half of the year. The exports of key seafood products such as shrimp and pangasius are expected to recover after a decline last year. In January of 2024, Vietnam's seafood exports to many main markets had a breakthrough growth, including three markets.
Vietnam's main seafood export markets in January 2024
In January 2024, China - Hong Kong became Vietnam's second largest seafood import market, after Japan. Vietnam's seafood exports to China - Hong Kong increased more than 3 times.
As for shrimp and pangasius, China was the largest market in January of this year, with an increase of nearly 4 times compared to January of 2023.
January this year was also the time when Chinese importers increased purchases for the Lunar New Year.
In addition to the Chinese market, seafood exports to many other markets also grew dramatically, such as to the US market increased by 63%, to the Japanese market increased by 43%, and to the EU market increased by 34%.
Currently, many businesses are concerned about shipping costs once again escalating. The global container shipping index in the middle of January of 2024 increased to 3,407 USD. Although it was up 211% since October of 2023, it last peaked in October of 2021 at 11,188.60 USD.
Therefore, shifting exports to some markets such as China is also targeted by many Vietnamese seafood enterprises.
Challenges for Vietnam's seafood industry in 2024
Looking at the general picture of the market and the seafood industry in 2024, most businesses see many challenges and difficulties that slow down the ability to recover production and exports.
Some shrimp businesses said that orders at the beginning of the year have not shown signs of improvement because market purchasing power was still weak. There are still problems such as: high inventory, low purchasing price, difficulties in competing with Indian and Ecuadorian shrimp.
There are some businesses that see more positive signs about orders, but are worried about raw material sources because it is the off-season and epidemics, so shrimp output is low.
In addition, the concerns about the risk of anti-subsidy taxes are also a barrier for importers in the US and Vietnamese export companies. In addition, the selling price of Vietnamese shrimp is still quite high compared to other countries, causing fear for importers.
For the pangasius industry, production and the market are showing slightly better signs. Orders in January and February began to improve, so raw pangasius prices have bottomed out, increasing from 25-26,000 VND/kg in 2023 to 28-29,000/kg at the beginning of this year. However, import customers are still cautious with the purchase price. Therefore, pangasius businesses also hope that this year's exports will increase slightly compared to 2023, possibly reaching an optimistic figure of 2 billion USD, an increase of more than 10% compared to 1.8 billion USD in 2023.
The seafood industry as well as fisheries in general are being affected by many unpredictable fluctuations such as war, conflict in Russia - Ukraine, Red Sea tensions, and skyrocketing shipping costs. In addition, the exports of exploited seafood such as tuna, squid, octopus and many marine fish species have almost stagnated due to the IUU yellow card issue along with difficulties in raw material shortages.
Market demand and export prices are predicted to gradually increase. It is hoped that Vietnamese shrimp will not be subject to anti-subsidy taxes and the IUU yellow card will be removed. On that basis, businesses believe that exports may start growing in the second half of the year and full year results will grow slightly compared to 2023, reaching about 9.5 billion USD.
Vietnam's pangasius industry aims to earn 2 billion USD from exports of 1.7 million tonnes.
However, escalating tensions in the Red Sea have pushed up sea transport costs, as well aspushed up product prices and could affect consumer purchasing decisions.
VASEP Deputy Secretary General Nguyen Hoai Nam said that domestic businesses want to be updated on the Red Sea situation to come up with reasonable production and business plans and receive support from shipping companies, an important link in global trade activities.
Furthermore, Vietnamese shrimp exports to the US will be affected in the first half of this year when the American Shrimp Processing Association (ASPA) in October of 2023 filed a trade request on the imposition of anti-subsidy duties on Frozen shrimp imported from Vietnam, Ecuador, India and Indonesia.
VASEP has recommended that Vietnamese exporters study US anti-subsidy procedures, closely monitor the situation and cooperate closely with VASEP and the Vietnam Trade Defense Agency.
Previously, the Ministry of Agriculture and Rural Development lowered the target for seafood export value in 2024 to 9.5 billion USD compared to the previous expectation of 10 billion USD due to global difficulties.
CK
Source: VITIC/ haiquanonline.com.vn/vietnamplus.vn