Global shrimp prices leap to $9 a kilogram last month. Global prices of shrimp surged by around $1 (€0.75) per kilogram in just four weeks -- a result of the ongoing supply crunch due to the early mortality syndrome (EMS) disease ravaging Asia.
The average global price of shrimp has increased to $9 (€6.8) a kilogram (for 20-30 count), up from $7 (€5.30) to $8 (€6), four weeks ago, reported the Business Standard.
Global prices were dropping until June as European buyers had been pressurizing exporting nations to reduce prices.
The European Union (EU) reduced import of high-value items such as shrimp and was ordering shrimp only at a price range of $7 (€5.30) to $7.5 (€5.70) per kilogram.
According to exporters, economic crisis in this region had slowed down demand for costly seafood items, said the news website.
Now the serious drop in production caused a paradigm shift in the pricing of shrimp.
Processing plants in east Asian countries have to depend on imports from India in order to meet their commitments to European and US importers. Countries such as Vietnam and Taiwan also importing more shipments from India for export purpose.
Rise in local demand in Korea also pushed up demand, reported the Business Standard. Prices might spurt further as production in east Asia will take a few months to be back to normal.
Supply from Thailand may fall about 50 percent this year, compared to the normal production size of 500,000 metric tons a year.