Thailand is estimated to see both export volumes and export value of shrimp decline this year due mostly to the COVID-19 pandemic and the stronger local currency, Bangkok Post reported 17 December, quoting Thai Shrimp Association.
Thailand exported 123,297 metric tons (MT) of shrimp in the first 10 months of this year, down 9 percent from the same period in 2019, which was worth THB 35.9 billion (USD 1.19 billion, EUR 980.6 million), 11 percent lower year-on-year. Major buyers of Thai shrimp in the period included the United States, Japan, China, and others.
The country’s shrimp export volumes are expected to reach 150,000 MT, down 14 percent year-on-year, while the export value is likely to drop by 21 percent from a year ago to THB 44 billion (USD 1.46 billion, EUR 1.20 billion).
Its shrimp production this year is also estimated to go down by 7 percent year-on-year to 270,000 MT due to shrimp diseases and impacts of the pandemic, Thai Shrimp Association’s President Somsak Paneetatyasai said.
The new wave of the coronavirus in many markets has hit shrimp demand during the upcoming year-end festivals, he added.
Paneetatyasai hopes Thailand’s shrimp output will hit 310,000 MT in 2021, an increase of 15 percent from 2020, with expected export volumes climbing by the similar rate of 15 percent.
The country’s domestic demand for shrimp is likely to account for 25 percent of its total production, which is forecasted to increase to 40 to 50 percent over the next five years.
But the president said the strong local currency, the baht, is creating barriers for the shrimp sector to move forward.
"The key obstacle for the shrimp industry is the baht, which has strengthened by 11 percent from 2017, when the baht averaged 33.68 to the dollar. The India rupee and Vietnam's dong have weakened by 14 percent and 2 percent, respectively, during the same period," he said. "The baht's strength is a national-level issue the government needs to tackle."
In addition, shrimp farmers across Thailand are struggling with outbreaks of shrimp diseases, comprising white faeces syndrome, white spot syndrome, or early mortality syndrome, which is feared to hurt shrimp production in the country, according to Thai Aquaculture Federation’s President Banjonk Nissapawanich.
Photo courtesy of Warakorn Buaphuean/Shutterstock
