Prices on farmed shrimp from Asia have been lower this summer, partly because of decreased demand, buyers say.
Last summer through fall, prices on Asian shrimp soared because of problems with early mortality syndrome (EMS). EMS in Southeast Asia slashed global shrimp production by around 30 percent last year, according to estimates.
“When EMS came along, prices skyrocketed … and buyers were looking for something else. They haven’t come around to turning prices around again,” said a Pacific Northwest distributor.
“Prices shot up a lot and then demand went weak,” agreed a Southeast U.S. distributor. “Prices have continued to drop and are now lower than they have been in a year.” However, he doesn’t believe prices will fall any lower over the next two to three months.
Meanwhile, U.S. shrimp imports have been steady over the past couple of months, buyers say. “Shrimp volume is pretty steady. I’m seeing some softness in smaller sizes such as 30s/40s. Demand hasn’t kicked in across the board,” the Pacific Northwest distributor said.
Buyers report raw, peeled and deveined shrimp as low as USD 4.10 (EUR 3.76) a pound for 26/30s up to USD 8.60 (EUR 7.88) a pound for 8/12s (price to packer). Other sources report as low as USD 3.30 (EUR 3.03) per pound 41/50s shell-on, headless farmed white shrimp from Asia, ex-warehouse East or West Coast up to USD 7.80 (EUR 7.15) for 15s and higher.
While some buyers say demand from restaurants and retailers has dropped in recent months, others have seen “pretty constant demand,” said the Southeast distributor to restaurants.
In many cases, lower prices are urging restaurant operators to add more shrimp items to their menus. In the second quarter of 2015, U.S. restaurants featured 7.4 percent more shrimp appetizers and entrees on their menus, according to foodservice consulting firm Technomic.
“They’re so versatile and have such a wide appeal – even for those who traditionally don’t like a lot of seafood variety,” said Jim Werth, marketing manager for Seattle, Wash.-based Ivar’s restaurant chain. “It’s also a benefit that shrimp prices have gone down recently, which affords us the opportunity to feature more menu variety.”
