Conference on pangasius production and consumption in Mekong Delta

However, the fish industry has been facing some difficulties. Rising prices of feed, drugs and raw material were transferred into a higher production cost, weakening links between fish farmers and processors.

On August 21^st, 2013, Vietnam Ministry of Agriculture and Rural Development (MARD) cooperated with the Southwestern region’s Direction Board to organize a conference on pangasius production and consumption in Mekong Delta in Can Tho province. Its objective is to review pangasius production and export activities in the region, set up plans for fish production in the coming months of the year and hear recommendations on the draft Decree on pangasius farming, processing and export before it is submitted to be approved by the government.

According to some participants to the conference, there have been weaknesses in the planning and management of pangasius production in some localities, which caused an oversupply in domestic market. Nguyen Huu Duzng, Vice President of Vietnam Association of Seafood Exporters and Producers (VASEP), recommended that production planning and management should be considered as the priorities of Vietnam pangasius industry. The industry need to expand consumer markets to enhance demands for pangasius products. It is also necessary to set quota for producing provinces in order to remain balance between supply and demand. The State Bank of Vietnam should have policies to offer more loans to fish farmers, processors and exporters.

Some companies said that their inventory was low at this time of the year, while others have to reduce production because of lack of capital.

Representatives from Hung Vuong Corporation and Cafatex Corporation recommended that the new decree must set up conditions for eligible exporters and regulations on pangasius output management. According to Nguyen Van Kich, Director or Cafatex Corporation,regulations on pangasius production management must be introduced to the Decree because better production management will help increase the fish price.

Vu Van Tam, Deputy Minister of MARD said that in the first seven months of 2013, despite many difficulties, Vietnam pangasius industry still kept farming activities on track to remain fish output at the same level of 2012. In the coming months of 2013 and 2014, pangasius companies are predicted to face challenges from importing markets. Therefore, it is important to apply technologies in the supply chain in order to reduce production cost, improve product quality as well as consolidate links between fish farmers and processors.

The draft decree will be assessed by MARD, Ministry of Justice and relevant agencies, and scheduled to be submitted to the Prime Minister for approval in October 2013.