Minh Phu Seafood, Vietnam’s leading shrimp exporter, is progressing with its plan to expand its breaded shrimp production capacity at its Minh Phu Hau Giang subsidiary.
Work to upgrade the current production line of breaded shrimp at the factory in the Mekong Delta Province of Hau Giang is underway, Minh Phu CEO Le Van Quang told SeafoodSource on 22 April. The upgrade, which is expected to be completed in May, will help double the plant’s capacity to 10,000 metric tons (MT) per year, Quang said.
Minh Phu also plans to invest VND 360 billion (USD 15.6 million, EUR 12.9 million) to build a new breaded shrimp production line in Hau Giang. Funding for the project will come from Minh Phu Hau Giang’s plan to raise its charter capital and bank loans, Quang said.
The new production line will have a production capacity of 15,000 MT per year and will be commissioned in early 2022. Once operational, it will help increase Minh Phu Hau Giang’s total production capacity of breaded shrimp to 25,000 MT per year.
Quang said the expansion of the company’s breaded shrimp capacity is needed due to high demand for the products from its major export markets, which include the United States, Japan, and Europe. Minh Phu hopesto significantly boost its shrimp production and its exports this year on the back of planned market expansion, he said. The company is aiming to produce 61,500 MT of shrimp in 2021, up 4.4 percent from 58,924 MT last year, the company said in its 2020 annual report. It expects to bring in an estimated USD 638 million (EUR 532.4 million) from exports this year, rising 8.5 percent from USD 588.1 million (EUR 490.8 million) in 2020.
Minh Phu’s primary export targets in 2020 included the United States, with a sales value of USD 149.1 million (EUR 124.4 million), down 39.4 percent year-on-year; Japan, with purchases of USD 143.9 million (EUR 120 million), up 8.5 percent; and Canada, with nearly USD 77.9 million (EUR 65 million) in sales, 24 percent higher than 2019.
Photo courtesy of Minh Phu
