Thai seafood is increasingly being transhipped through neighbouring states to avoid tariffs.
The European Union accounts for 17 percent of shrimp exported from Thailand, but that total has dropped significantly as of late – for direct exports. This is due to a “very big tariff” of 24 percent if the shrimp is cooked in Thailand, compared to seven percent for shrimp cooked in Vietnam, according to Panisuan Jamnamwej, chairman of the Committee on Fisheries and Related Industries at the Thai Chamber of Commerce.
Vietnam is now the No. 3 buyer of Thai shrimp, but the purchases are mostly for re-export. Ecuadorian shrimp is also cooked and packed in Thailand, according to Somsak Paneetatayasai, chair of the Thai Shrimp Association.
Japan buys 47 percent and the U.S. 36 percent of Thai seafood exports, according to Panisuan’s data.
