After around six weeks of increases, pangasius prices in Vietnam’s Mekong Delta have fallen again as exports to China faced hurdles due to the latter’s increased inspections on imported frozen seafood.
The farmgate prices were kept at between VND 21,000 and VND 22,000 (USD 0.90 and USD 0.95, EUR 0.76 and EUR 0.79) per kilogram in recent days, down between VND 1,000 and VND 3,000 (USD 0.04 and USD 0.13, EUR 0.03 and EUR 0.11) per kilogram from early November, according to a Can Tho newspaper report from 1 December. Can Tho is one of the main pangasius-producing provinces in the delta.
The decline in prices was because many processors have reduced purchases for processing due to difficulties in export activities, especially to China.
While the pandemic situation is still not bright in the U.S., Europe, and other markets, exporters from Vietnam put a lot of hope on China, which has effectively controlled the outbreak for months.
However, cargoes of Vietnamese seafood, including pangasius, are facing delays in delivery as customs authorities are now testing all frozen seafood cargoes for the coronavirus at major Chinese ports, according to the Vietnam Association of Seafood Exporters and Producers (VASEP).
The trade group has asked pangasius exporters not to panic and to avoid lowering their export prices.
China remained the largest buyer of pangasius from Vietnam, with sales value reaching USD 428.3 million (EUR 359.4 million) between January and October, down 18 percent year-on-year. But from October, Chinese importers began increasing their buying to meet rising domestic demand.
A sales executive from a pangasius processor and exporter in An Giang Province told SeafoodSource on 1 December that the disruptions in exports to China are making things worse for the industry, and his company in particular. The actual prices were even lower than what were reported in the media. Many farmers have had to abandon farming and switch to other jobs due to prolonged losses. His company has suffered losses since April as exports were disrupted due to falling demand during the COVID-19 pandemic.
“We are waiting for the vaccination in the U.S. and other major markets to help lift demand there,” the executive said.
Meanwhile, Vietnam's seafood production has continued to increase recently. The country was estimated to have produced 7.67 million metric tons (MT) of seafood in the first 11 months of this year, up 1.6 percent year-on-year, including 4.16 million MT from aquaculture and 3.52 million MT from fishing, data from the General Statistics Office showed.
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