Vietnam has experienced a considerable decline in farm gate prices over the last few months. This nosedive of prices has been caused by a combination of a raw material oversupply and slow market demand.
While exports were mild over the last period, some major progress has been booked, such as the Free Trade Agreement with the E.U. and the exemption of the U.S. anti-dumping tariffs for 32 exporting companies. According to VASEP, these measures are expected to affect Vietnam’s export markets for the last months of this year.
As the weather is becoming less favorable for farming shrimp, farmers have stocked moderately, resulting in a smaller harvest towards the end of the year. A raw material shortage can push farm gate prices up again.
