Vietnam shrimp exports reached more than 4 billion USD by November

Regarding export products, export value of black tiger shrimp declined while whiteleg shrimp still increased in 11 months of 2022. Processed shrimp products increased more strongly than fresh/frozen shrimp products. Among black tiger shrimp products, only fresh/frozen black tiger shrimp decreased by 8%, other processed black tiger shrimp increased by 21%. The export value of processed vannamei and fresh/frozen vannamei increased by 15% and 5%, respectively.

In November, shrimp exports to main markets decreased simultaneously, in which exports to the US and EU decreased the most by approximately 50%, exports to Japan decreased by 16%, and exports to South Korea increased by only 2%. China is the only market still strongly increased shrimp imports from Vietnam with a growth rate of 88%.

In November 2022, Vietnam's shrimp exports to the US reached US$41 million, down 55% over the same period. Accumulating 11 months of 2022, shrimp exports to the US reached more than 773 million USD, down 21% compared to the same period in 2021.

According to data from the US National Oceanic and Atmospheric Administration (NOAA), in October 2022, the US imported 69,767 tons of shrimp, worth $633.99 million, down 18% in volume and 22% in value. This is the third consecutive month, shrimp imports into the US have recorded a decrease. As of October 2022, US shrimp imports reached 715,711 tons, worth $ 6.7 billion, down 2% in volume and 4% in value over the same period in 2021.

The reason for the decrease in shrimp imports to the US is due to the high inventory. Retail sales and F&B service sales have both slowed down, retailers sometimes even asking to delay deliveries. Despite high inventories, the price of shrimp in the US did not decrease because wholesalers did not want to sell because the price was not yet profitable. Christmas is coming soon, the Super Bowl takes place on February 12, and the Lent Festival takes place from February 22 to April 6. However, these events are also expected to be unlikely to reduce inventory supply in the US.

The US market's demand for Vietnamese shrimp imports may improve after the first quarter of 2023 when inventories are reduced and the economic situation is more positive.

Vietnam's shrimp exports to the EU reached 37 million USD in November 2022, down 44% over the same period. Exports to the main single markets in the bloc dropped by double digits. By November, exports to the EU market reached 655 million USD, up 19%.

Vietnam's shrimp exports to the EU began to decline from October. Record high Inflation, the energy price crisis, exchange rate fluctuations have affected storage costs and consumption demand.

In November 2022, while exports to most major markets decreased, exports to China still rose. Vietnamese shrimp exports to China this month reached more than 68 million USD, up 88%. Accumulating 11 months, shrimp export value to this market reached nearly 616 million USD, up 63% over the same period in 2021.

Since the beginning of December, the Chinese government has taken steps to relax the zero-covid policy. In particular, China is canceling the testing process for imported seafood, helping to shorten the time to wait for customs clearance and import costs for Chinese importers, which will increase import demand and consumption. Therefore, Vietnam's shrimp exports to China are expected to increase in the last month of this year.

In the first half of 2022, thanks to good export prices, high demand, and orders from the end of 2021, shrimp exports increased quite impressively. In the second half of 2022, enterprises have to face many difficulties and challenges such as a decline in world market demand due to record-high global inflation, Russia-Ukraine conflict, currency fluctuations, and rising production costs, limited raw materials, limited capital to rotate production while facing strong competition from other suppliers. However, as of November 2022, Vietnam's shrimp exports have exceeded the shrimp export turnover in 2021, reaching more than 4 billion USD, up 14% over the same period in 2021.

Although there are many challenges ahead, this result is an encouraging number for a year with such much uncertainty. For the whole year of 2022, shrimp exports will reach about $4.3 billion, up 10% compared to 2021.

Compiled by Thuy Linh