Russia has granted permission for two pangasius exporters from Vietnam to enter the markets of an economic bloc led by Russia.
Beginning 4 May, Vinh Hoan and Hung Ca have been permitted to export their fresh and frozen products to the Eurasian Economic Union (EAEU), comprising Russia, Belarus, Kazakhstan, Kyrgyzstan, and Armenia, following an approval from Russia’s Federal Service for Veterinary and Phytosanitary Surveillance (FSVPS), Vietnam-based Cong thuong newspaper reported, citing Vietnam’s National Agro-Forestry-Fisheries Quality Assurance Department (NAFIQAD).
A free-trade agreement between Vietnam and the EAEU entered into force in 2016, and at the time, Vietnam’s government and seafood companies anticipated a surge in the country's seafood exports to the bloc. However, only a few companies from Vietnam have been granted permission to export seafood to the EAEU due to Russia’s complicated and time-consuming approval procedures as well as nontariff barriers – which include strict food safety and quarantine regulations, Vietnam Association of Seafood Exporters and Producers (VASEP) said.
Due to the Russia-Ukraine conflict, Vietnam’s seafood exports to Russia tumbled by 35.7 percent year-on-year to USD 35.3 million (EUR 32.9 million) in value in 2022 through April, according to Vietnamese customs data.
Vinh Hoan's sales continued to surge in April, adding on to a strong first quarter of 2022. Its export value in the month soared 98 percent year-on-year to VND 1.65 trillion (USD 70.7 million, EUR 65.9 million), led entirely by the U.S. with VND 983 billion (USD 42.1 million, EUR 39.2 million), up 240 percent year-on-year. However, Vinh Hoan’s sales to Europe slid 3 percent to VND 158 billion (USD 6.7 million, EUR 6.3 million) and its exports to China declined 20 percent by value to VND 127 billion (USD 5.4 million, EUR 5 million).
Vinh Hoan earned VND 1.17 trillion (USD 50 million, EUR 46.7 million) from sales of pangasius products in April, up 121 percent year-on-year. Its byproduct sales totaled with VND 230 billion (USD 9.8 million, EUR 9.2 million) in the month, 26 percent higher year-on-year, and its miscellaneous product sales reached VND 113 billion (USD 4.8 million, EUR 4.5 million), up 1,712 percent year-on-year. Its wellness product sales of VND 77 billion (USD 3.3 million, EUR 3 million) were up 23 percent year-on-year.
Image courtesy of WindVector/Shutterstock
