Australia is Vietnam's second largest shrimp import market in the CPTPP market after Japan, accounting for 27% of Vietnam's total shrimp export value to this market. Australia is also the 5th largest shrimp import market of Vietnam, accounting for 8%.
In 2022, Vietnam's shrimp exports to Australia recorded the second highest growth after China. The export value to the Australian market in 2022 reached US$272 million, up 44% compared to 2021. While the import demand from the US and EU decreased in the last quarter of 2022, the import demand from Australia still maintained good growth from the beginning of the year.
In the 5-year period (2018-2022), Vietnam's shrimp exports increased from $115 million in 2018 to $272 million in 2022, an increase of 137%. The average annual growth rate is 25%. During this period, shrimp exports to Australia grew from 11-44%. The highest growth milestone of 44% is recorded in 2022. The impressive growth in 2022 proves that measures to promote the export of Vietnamese goods to Australia such as diplomatic activities, trade promotion, and FTAs are effective.
Vietnam's shrimp exports to Australia from 2018 to the early 2023
During these 5 years, the export of live/fresh/frozen whiteleg shrimp and black tiger shrimp products recorded strong 3-digit growth. Notably, the export value of live/fresh/frozen whiteleg shrimp in 2022 recorded a growth of 740 % compared to 2018. After 5 years, processed vannamei shrimp exports grew less while processed black tiger shrimp exports decreased.
In the structure of Vietnamese shrimp products exported to Australia in 2022, whiteleg shrimp accounted for 95.5%, marine shrimp accounted for 4.2%, and black tiger shrimp accounted for 0.3%. After 5 years, the proportion of whiteleg shrimp exports to Australia increased sharply while the proportion of marine shrimp and black tiger shrimp tended to decrease.
Australia is still considered an important market for Vietnamese shrimp in the coming time.
In the Australian market, Vietnamese shrimp have to compete with Thailand and China. From 2015 to now, Vietnam has firmly maintained its No. 1 position in shrimp supply to Australia with the market share increasing from 32% in 2015 to 69% in 2022 while Thailand's market share decreased from 23% in 2015 to 14% in 2022, China's market share fell from 28% to 8%.
Thanks to three agreements AANZFTA, CPTPP and RCEP between Vietnam and Australia, Vietnamese shrimp products exported to Australia enjoy 0% tax incentives. However, Vietnamese shrimp, especially raw shrimp, are still facing barriers in entering Australia due to strict inspection regulation in this market.
In the context of shrimp exports facing many difficulties due to the decline in import demand from main markets such as the US and EU, Australia is still considered an important market for Vietnamese shrimp in the coming time.
Compiled by Thuy Linh
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