Ecuadorian shrimp sales have yet to be directly affected by the U.S. war with Iran, but the conflict’s knock-on effects on global logistics are exerting significant pressure on the sector, according to John Alarcon, a shrimp consultant and founding member of the Global Shrimp Council.
“Ecuador doesn’t send a lot of goods directly to the Middle East, but it is very much a part of global logistics networks, so the [war’s] effect is indirect but big,” he told SeafoodSource.
According to Alarcon, who is also the commercial director of Ecuadorian seafood processing and exporting firm Davmercorp, some of those indirect effects include the availability and frequency of ships and refrigerated containers.
“Right now, we are facing less availability of reefers, delays in the schedules of ships, [and] more traffic in important transshipment hubs,” Alarcon said. “Availability of reefers has gotten a lot worse, especially for routes that go from Latin America to Europe, the United States, and parts of Asia. The exact numbers change from week to week and carrier to carrier. This means that exporters are fighting harder for limited equipment, which has a direct effect on planning shipments.”
Meanwhile, shipping rates have increased significantly due to the spiking price of fuel, increased insurance fees related to war risk, and changes to routes and longer travel times.
Regarding the latter issue, Alarcon said changing shipping routes can add 10 to 20 days to the time it takes for ships to arrive to their final destination, while increased fees and fuel surcharges have led to a 30 percent to 50 percent increase in the cost of some shipping routes.
“What we are seeing in the market today is not a temporary adjustment; it is a clear signal that geopolitics is once again taking control of the supply chain,” he said. “Longer transit times affect the freshness cycles of products, inventory planning, and working capital. These problems are very important for shrimp, which is a product where logistics are a key part of the value chain.”
While the global demand for shrimp around the world has remained strong to date, Alarcon added that there is a chance long-term increases in the costs of shipping and logistics could raise final prices to the end consumer, threatening consumption rates.
“The most important question is how much of a price increase can be handled along the chain without lowering sales,” Alarcon said. “It’s not so much about reacting to one thing as it is about getting used to a global trade environment that is more unstable.”
To mitigate the conflict’s effects, he called on exporters to focus on areas within their reach and control, paying special attention to ensuring flexibility in operations, establishing optimal working relations with carriers and logistics partners, keeping a tight control on costs throughout the chain, and seeking different markets and logistics routes.
Alarcon said in particular, Ecuador needs to diversify to up-and-coming, expanding markets such as Brazil, Indonesia, Japan, Mexico, Pakistan, and Russia, which will represent a significant opportunity for Ecuador to sell high-quality, value-added shrimp products.
At the same time, he said it should continue to protect its three main shrimp export markets – China, the U.S., and Europe – by ensuring sustainability, traceability, and full compliance with international standards.
“To sum up, things are changing, but the main point is clear: This is a shock caused by logistics, not by demand,” he said.
Still, Alarcon said challenging times like these can also provide opportunities.
“When things are like this, being reliable gives you an edge over your competitors,” he said, noting that businesses that have well-structured operations, are financially disciplined, and maintain a close working relationship with logistics providers will be able to continue providing high-quality service and most likely grab a bigger share of the market when competitors are unable to deliver.
Ecuador’s farmed shrimp industry closed 2025 with USD 7.47 billion (EUR 6.3 billion) in exports, an increase of 23.2 percent when compared to the USD 6.07 billion (EUR 5.12 billion) sent abroad in 2024, according to the country’s National Aquaculture Chamber (CNA).
