The global shrimp market is experiencing a surge in demand, particularly in regions such as China and the Middle East. The Vietnam Association of Seafood Exporters and Producers (VASEP) reports a notable uptick in seafood exports, despite a slight decrease in February 2024 compared to the previous year.

Export Trends

In February 2024, seafood exports from Vietnam are estimated at USD 564 million, marking an 8% decline from the same period last year. However, this decline is viewed positively, considering the occurrence of the Lunar New Year holiday during this time. Notably, seafood exports in the first two months of 2024 have exceeded USD 1.3 billion, indicating a robust 23% increase over the corresponding period in 2023.

Shrimp exports have witnessed a significant surge, with a remarkable 37% increase by the end of February 2024. Similarly, tuna exports have also seen a substantial rise of 37%. Pangasius exports recorded a 15% increase, while other types of fish experienced an 8% upsurge. However, squid and octopus exports saw a slight decrease of 1%.

Market Dynamics

The positive momentum in shrimp exports is particularly evident in key markets such as China, the US, Japan, Canada, and Australia. In China, demand is rebounding strongly, driven by factors such as recovery from previous setbacks and a preference for Vietnamese shrimp due to perceived higher quality standards compared to competitors like Ecuador and India.

Despite the overall positive trends, challenges persist in the seafood market. For instance, in late 2023, pangasius export prices to major destinations like the US and EU plummeted before experiencing a slight recovery in January 2024. However, export prices to China remain considerably low, posing challenges for Vietnamese exporters.

E-commerce Channel Growth

A notable trend in the Chinese market is the increasing preference for e-commerce channels among buyers, with many selling directly to retail customers. This shift has led to a surge in demand for shrimp and other seafood products, creating opportunities for suppliers who can meet the quality expectations of discerning consumers.