As a glut of shrimp continues to keep prices low globally, Thailand’s Charoen Pokphand Foods PCL (CP Foods) says an improved product and marketing of the country’s production improvements will help its exports stay competitive.
In a release, CP Foods said the future of the Thai shrimp business will rely on genetic- and managing-system improvements to produce a larger, better-quality product. Marketing that higher-quality product directly to consumers is another key part to the company’s plans to expand shrimp exports.
Through a breeding program, and the “three cleans” approach (clean pond, clean water, clean stock), CP Foods has “mastered their breeding program that made shrimps to become more resistant to Early Mortality Syndrome outbreak and to grow faster,” said the company.
CP Food’s production involves integrated closed-operation farms that meet international standards. According to Premsak Wanuchsoontorn, executive vice president of Aquaculture Business at CP Foods, the company has not had to deal with diseases such as white spot syndrome virus.
As competition grows from nearby Asian countries – like China – CP Foods sees a better product as the future of the industry in Thailand.
“I foresee the industry will grow more big-size shrimp and be more concerned with food safety,” said Sujint Thammasart, chief operating officer of Aquaculture Business of CP Foods. “Thailand will harvest the larger size shrimp that meets with all the standards that the world has set up.”
Marketing that better quality product directly to consumers, particularly in Australia, will be key to the development of a market for the product, said CP Foods. A recent visit to Bangkok by Norman Grant, the executive chairman of the Seafood Importers Association of Australia, suggests that more direct-to-consumer marketing could greatly benefit the company.
“Without any information for consumers, they will turn to other meat such as lamb or chicken,” Grant said.
Australian shrimp farmers, particularly in Queensland, have themselves been dealing with an outbreak of white spot, further opening opportunities for CP Foods. As Australia’s population increases, particularly from Asian migrants, CP Foods is predicting a larger market for shrimp.
“However, Australian consumers have less information about Thai shrimp,” the company said. “Thai exporters have directly connected with their importers who have a lot of details of the products, but it has not been conveyed to consumers.”
Information about how the farms produce high-quality shrimp that are larger than competitors’ hasn’t reached Australian consumers, something CP Foods plans to try to change.
“The strategy will allow those consumers to learn more about Thai shrimp for their decision-making,” CP Foods said.
