Pangasius is back on an upward trajectory for both 3-5 and 7-9 ounce boneless skinless frozen fillets, as prices reach new record highs, according to data shared during the National Fisheries Insitute’s Global Seafood Market Conference.
In December 2021, prices for both sizes of fillets were virtually identical at nearly USD 3.50 (EUR 3.08). That represents a significant jump from under a year ago – the price was USD 1.75 (EUR 1.54) in March 2021.
In the years prior, pangasius prices also rose rapidly then crashed. In late 2018, prices neared a similar high of USD 3.25 (EUR 2.86), and at the GSMC in early 2019, experts said they were surprised by the continued demand for the product in the face of ever-increasing prices. Soon after, however, the price for the species plummeted, as did imports, even though production reached new highs.
Prior to the short-term volatility in 2018 and early 2019, pangasius represented a relatively stable, predictable species, according to Sam Galletti, president of the Great American Seafood Import Company.
“Pangasius or swai, whatever you want to call it, it was the most-consistent market ever in the history of the seafood industry,” Galletti said.
Regulatory changes, which led to shifts in buying habits, gradually disrupted that and led to increasing prices. As prices increased, so did production – until the supply grew too large and the price dropped.
“It didn’t take a while for it to go down. It crashed like a rock,” Galletti said. “I think we all have nightmares of what we went through with pangasius.”
Fast-forward to the COVID-19 pandemic, and a new set of market forces have pushed pangasius prices upwards once again. COVID-19-related production difficulties in Vietnam led to a constriction of supply and a subsequent increase in price. But that increase will likely be temporary as supply chain issues alleviate and the market corrects, Publix Business Development Seafood Director Guy Pizzuti said.
“I see this as probably being a little less sustainable, because it doesn’t have a retail footprint,” Pizzuti said.
Still, the panel predicted even if the price normalizes, demand will remain for pangasius as the foodservice sector recovers.
“Pangasius will always have its place in foodservice,” Galletti said.
Photo courtesy of Tochim/Shutterstock
