Ca Mau, Vietnam-based Minh Phu Seafood, Vietnam’s top shrimp producer, has decided to raise the charter capital of its subsidiary Minh Phu Green Foods to increase its domestic sales, the company’s CEO, Le Van Quang, said on 14 March.
On 12 March, Minh Phu’s board of directors approved a resolution to increase the charter capital of Minh Phu Green Foods by VND 48 billion (USD 2.1 million, EUR 1.9 million) to VND 50 billion (USD 2.2 million, EUR 2 million).
Minh Phu’s sales within Vietnam remain modest, accounting for about 1 percent of the firm’s total sales, which the company attributed to the fact that many Vietnamese prefer live and fresh seafood from local sources or imported seafood over processed shrimp. With the new funds, which will be allocated to Minh Phu Green Foods by the end of March, Minh Phu said it is committed to providing the domestic market with its processed products of the same quality as its export products.
Currently, Minh Phu exports almost all of its shrimp output. In the first two months of 2022, the company exported 6,832 metric tons (MT) of shrimp worth USD 87.4 million (EUR 79.6 million), a value that was up 42 percent year-on-year. Its combined sales to Australia and New Zealand were USD 19.4 million (EUR 17.6 million), a jump of 77 percent from 2021.
Its Japanese exports rose 42 percent year-on-year to USD 18.3 million (EUR 16.7 million) in January and February, and its U.S. exports were up 103 percent to USD 14.5 million (EUR 13.2 million). Its exports to the European Union totaled USD 12.5 million (EUR 11.3 million) in January and February, 82 percent higher year-on-year; and its shipments to Canada reached USD 11.8 million (EUR 10.7 million) in value, up 31 percent year-on-year.
However, Minh Phu’s sales to South Korea, Russia, and China declined by between 31 percent and 61 percent year-on-year. In early March, Minh Phu said it has suspended exports of shrimp to Russia due to the escalation of the Russia-Ukraine war.
Photo courtesy of Minh Phu
