China’s shrimp feed industry is experiencing substantial growth, with production expected to reach 1.824 million tonnes, a notable increase from 1.656 million tonnes in the previous year, according to VASEP.

Growth in Shrimp Feed Sales

Aggregated data from leading shrimp feed manufacturers indicate a rise in shrimp feed sales by 168,000 tonnes by the end of the year. The market is highly concentrated, with the top five shrimp feed companies controlling 73% of the market.

Leading the market is Haid Group, China’s largest shrimp feed producer. Haid Group increased its output to 600,000 tonnes, up from 510,000 tonnes last year, raising its market share to 34% from 31%. Tongwei, the second-ranked producer, saw a decline in market share, selling 213,000 tonnes last year. Shenzhen-based Alpha Feed came in third with 200,000 tonnes sold.

The Guangdong Evergreen Group and Yuehai Feed ranked fifth with outputs of 182,000 tonnes and 135,000 tonnes, respectively.

Challenges Facing the Industry

Despite the impressive growth, the shrimp feed industry in China still faces several challenges. High raw material costs and limited alternatives to fishmeal are significant hurdles. Additionally, there is considerable variability in feed quality across the market.

These challenges have broader implications for China’s aquafeed industry. The total aquafeed output in China fell by 4.9% to 23.44 million tonnes. However, Haid Group’s total aquafeed sales bucked this trend, rising by 2% to 5.24 million tonnes. In contrast, New Hope Liuhe and Guangdong Yuehai Feeds experienced declines in sales, falling by 4% and 13%, respectively.