Vietnam's pangasius exporters uppped their sales in June and the first half of 2021, but a local outbreak of COVID-19 is worrying them in July.
The country shipped USD 142.6 million (EUR 121 million) worth of pangasius in June, an increase of 28.1 percent year-on-year. Vietnam's pangasius export value also rose 17 percent from a year ago to USD 780.9 million (EUR 662 million) in the first six months of 2021, thanks to a surge in sales to both the U.S. and countries that participate in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the Vietnam Association of Seafood Exporters and Producers (VASEP) said in a statement 20 July. The CPTPP bloc includes Australia, Canada, Japan, New Zealand, Singapore, Mexico, Vietnam, Peru, Chile, Brunei, and Malaysia. The pact became effective for Vietnam in January 2019.
China (including Hong Kong) became the largest destination for pangasius from Vietnam in the first six months of 2021, with sales totaling USD 206.5 million (EUR 175 million), down slightly 0.7 percent year-on-year.
But total export value of pangasius shipped from Vietnam to China in June declined 11.3 percent from the same month last year. Exports to China for the month were still affected by strict measures imposed by Chinese authorities to contain the spread of COVID-19. In June, Zhanjiang – a port in China’s Guangdong Province – temporarily stopped receiving cargoes of frozen seafood from Vietnam and 10 other Asian countries from 20 June to 15 July due to loading capacity. Exports by China’s whitefish suppliers in the first six months also stalled, resulting in growing domestic stockpiles, according to VASEP.
However, sales of pangasius from Vietnam to the U.S. grew 68 percent year-on-year to USD 34.4 million (EUR 29.2 million) in June. The export value in the first half soared 57.7 percent to USD 168.7 million (EUR 143 million). VASEP said it expects the growth momentum in the U.S. market will continue through the remainder of 2021.
In late June, the U.S. Department of Commerce (DOC) revised a previous preliminary decision and will not impose any antidumping duty for pangasius products from two of Vietnam’s top pangasius exporters, Vinh Hoan and Navico. The revision came after its 16th period review, which looked at the period spanning 1 August, 2018 through 31 July, 2019.
Vinh Hoan’s exports to the U.S. in June surged 77 percent year-on-year in value to VND 298 billion (USD 12.9 million, EUR 10.9 million).
Vietnam’s sales to CPTPP countries increased 8.8 percent to USD 108.4 million (EUR 92 million) between January and June 2021. Of the total, the value of Vietnam's pangasius exports to Mexico in the period increased 78.3 percent to USD 37 million (EUR 31.4 million). Exports to Canada hit USD 18.1 million (EUR 15.4 million), up 17.7 percent; and shipments to Australia reached USD 15.4 million (EUR 13 million), 5.2 percent higher year-on-year.
Despite a strong first half of the year, Vietnam's pangasius companies are facing difficulties due to an ongoing COVID-19 outbreak in southern Vietnam. The outbreak is having a marked impact on the country’s seafood industry, with the processing capacity of shrimp and pangasius facilities reduced by half and panic-harvesting taking place in the country’s Mekong Delta region.
Photo courtesy of VASEP
