Shrimp exports to Australia have the best growth among major markets

Australia is Vietnam's second largest shrimp import market in the CPTPP market, accounting for 21% of Vietnam's total shrimp export value to this bloc. Australia is also the 5th largest Vietnamese shrimp import market, accounting for 6%. Vietnam's shrimp exports to Australia in the first 9 months of 2022 continuously increased by double digits compared to the same period last year.

Australia prefers processed shrimp products, processed shrimp accounts for 40% of Vietnam's shrimp exports to Australia.

On August 19, 2022, the Australian Department of Agriculture, Fisheries and Forestry announced the addition of breaded, battered, or crumbed (BBC) shrimp and highly processed (HP) on the list of items eligible for incentives under the Incentive Intervention Program (CBIS) - A preferential mechanism for plant goods imported into Australia to enjoy a lower rate of biosecurity inspection. This loosened regulation is expected to help boost the export of processed shrimp from Vietnam to Australia from now until the end of the year.

Vietnamese shrimp share in the Australian market is increasing

The main shrimp products of Vietnam currently being exported to Australia include boiled, headless and tailless frozen whiteleg shrimp; Frozen fresh PD headless and tailless whiteleg shrimp, frozen fresh PDTO headless shrimp, frozen PD IQF whiteleg shrimp, etc.

According to data from the ITC, Australia's shrimp imports in the first 7 months of 2022 also recorded good growth with import value reaching nearly 234 million USD, up 29% over the same period last year. Shrimp imports  from Vietnam recorded the best growth of 51%. Australia tends to reduce imports from Thailand and China - the main competitors of Vietnamese shrimp in this market. China's shrimp production faced difficulties, output decreased due to the zero covid policy causing China's shrimp exports to Australia to decrease. Australia imports a lot of deep-processed shrimp products while Thailand's processing level is not as high as that of Vietnam.

Australia is a difficult market with strict regulations on imported goods to protect food safety regulations. Enterprises that want to export in this market must actively improve the production process and quality of products.

Although inflation in Australia is high, it is still under the control of the Government. The Australian economy is forecast to be able to avoid a recession this year. Along with support from the RCEP and CPTPP Agreements that Vietnam and Australia have joined, Australia is still considered a potential market for Vietnamese shrimp in the near future.

Compiled by Thuy Linh