Rising fuel prices reduces shrimp production

The executive director of the Chamber

Currently, only 5 of the 25 boats that make up the industrial fishing fleet are operating in the Caribbean Sea.

In addition, some 250 people are now no longer working because numerous vessels are no longer going out to fish resulting in shrimp processing plants receiving less raw materials.

The reduction in raw materials is also impacting export volumes.

"The cost of fuel has a direct impact on production costs and the shrimp fishery is the most affected, in this case by the rising price of diesel. Right now, most of the shrimp boats have remained docked, affecting production and employment," Segura told La Prensa.

Industry sources estimate that the fishing industry this year could record a decline of around 6 per cent in terms of export volumes, but perhaps, the value of these items will be similar to last year: USD 158 million.

"The recovery of prices will somewhat offset the decline in production," said Segura.

They have also been affected by natural phenomena, such as inclement weather, as well as other economic issues, such as rising fuel prices. Due to this, Segura believes that the fishing industry should focus more towards aquaculture.

According to the Center for Export Procedures (Cetrex), during the first two months of 2011, they reported a fall in export volumes of sea shrimp over the same period of 2010.

Between January and February last year, a total of 2048 tonnes of marine shrimp were shipped abroad for USD 2.17 million, while in the same two months of 2011, they exported 359 tonnes for USD 2.2 million.

Danilo Rosales, vice president of the Nicaraguan Institute of Fishing and Aquaculture (Inpesca), told Channel 8 de Television that the shrimp fishing fleet has reduced its productivity levels because the industry can not outweigh the cost of fuel.


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  • SPECIALIST ON SHRIMP MARKET

Ms Kim Thu

Email: kimthu@vasep.com.vn

Tel: 84.24.3771.5055 (ext 203)

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