(seafood.vasep.com.vn) Sao Ta Foods Joint Stock Company (FIMEX) recently announced its production and business results for November 2024, showing a 5% year-over-year increase in revenue but a 21% decline compared to the previous month.
During the month, finished shrimp production reached 1,497 tons, a 3% increase year-over-year. Consumption of finished shrimp stood at 1,648 tons, up 1.5% from the previous year.
Meanwhile, finished agricultural product output for November was 42 tons, a 59% decrease year-over-year, with consumption at 95 tons, down 16%.
Overall, November revenue reached $18.38 million, representing a 5% year-over-year growth but a 21% decline compared to October. For the first 11 months of 2024, Sao Ta achieved approximately $228.63 million in revenue, exceeding its full-year target of $210 million.
Regarding the shrimp farming, FIMEX has completed stocking the new area (203 hectares) and is in the process of stocking the old area (322 hectares), expected to be completed by December 20.
On October 22, 2024, the U.S. Department of Commerce (DOC) announced the final results of its countervailing duty (CVD) investigation on frozen warm-water shrimp from Ecuador, India, Indonesia, and Vietnam. The DOC set a CVD rate of 2.84% for Vietnam's shrimp industry.
Following the DOC's announcement, the U.S. International Trade Commission (ITC) will issue its final ruling on December 5, 2024. If the ITC delivers a final decision, the order will be issued on December 12, 2024.
Sao Ta assesses that the 2.84% CVD rate will officially pose a significant barrier for Vietnam's shrimp industry in this market. If the ITC concludes that the subsidies do not significantly affect the U.S. shrimp industry, the case will be dismissed.
"This “judgment day” is of critical importance for shrimp businesses exporting to this market. When planning their 2024 business strategies, shrimp companies likely did not anticipate the complexity of this case. Clearly, the mandatory tax payment will significantly impact their performance. FIMEX is also highly concerned and eagerly awaiting this “judgment day”. Because if the ruling is favorable, FIMEX expects to recover no less than VND 40 billion from its tax reserves, which would positively contribute to achieving its 2024 business goals," Sao Ta stated.