(seafood.vasep.com.vn) As of October 2023, Vietnamese shrimp exports to the Middle East market reached more than 39 million USD, down 10% over the same period last year—recording a lighter decrease rate than those to other main markets. In the context of facing many challenges from the main consumer markets, looking to smaller but potential markets is also an option for current businesses. The Middle East market accounts for 1.3% of Vietnam's total shrimp exports to markets.
In the period from 2019 to 2022, Vietnamese shrimp exports to the Middle East ranged from 41.5 million USD to 49.8 million USD. Shrimp exports to this market block tend to grow continuously from 2020 to 2022. In 2023, the unstable world economy poses many challenges for seafood exports in general and shrimp in particular. Therefore, Vietnamese shrimp exports to the Middle East certainly face a decline, but the decline is somewhat lighter than in other markets.
The largest single import markets of Vietnamese shrimp in the Middle East region are Israel, Saudi Arabia, the UAE, Qatar, Lebanon, Turkey, Iran, Kuwait, etc. In the first 10 months of 2023, Vietnamese shrimp exports to some markets in the Middle East region recorded an increase compared to the same period last year, such as Saudi Arabia recording a 42-fold increase (reaching 7.6 million USD) and Iran recording an 8-fold increase (reaching 1.7 million USD), to Kuwait and Lebanon recorded double-digit growth; exports to Oman increased 16 times, and exports to Qatar increased 4 times.
The Middle East market area is considered potential because this area is not strong in fish farming and processing, so it depends heavily on food supply from imports. Natural conditions such as weather and soil are not favorable or suitable for agricultural production. To meet domestic demand, the Middle East must import up to 80% of food and foodstuffs, equivalent to 40 billion VND per year. Demand for seafood, including shrimp, is growing strongly, especially in markets such as Saudi Arabia, the UAE, etc.
The Middle East market area has high requirements for imported food products, such as requiring Halal certification. Suppliers are required to process and package appropriately to meet this standard.
This is a potential market for Vietnamese seafood, where the purchasing power is on par with the ASEAN market, and the potential can increase three times if it’s focused on development. There needs to be more information channels about the needs and requirements of this market area, along with support from state programs on market promotion, so that businesses have more development channels and increase export space here.
Source: seafood.vasep.com.vn