Presidency Minister Rodolfo Pastor de María has disclosed that shrimp producers in Honduras are looking to establish trade relations with China to tap into new markets. This initiative comes in response to declining demand for their product from Taiwan, posing significant challenges for the shrimp industry.

Demand Shifts Trigger Concerns

Minister Pastor highlighted these concerns during an interview on a television news program. Shrimp producers have raised alarms over farm closures and the loss of approximately 10,000 jobs in the southern region due to export limitations.

The shrimp sector had forewarned the government about declining Taiwanese demand even before diplomatic relations were established with China. Consequently, they advocated for diversifying market access, specifically suggesting a strategic engagement with China to open up new opportunities.

China: A Vast Potential Market

With China’s market now accessible, the emphasis has shifted towards enhancing competitiveness to capture the interest of a vast consumer base exceeding 1.4 billion people. Minister Pastor emphasized the need for producers to rise to this challenge and attract Chinese clientele.

Despite over a year of diplomatic ties, a formal trade agreement with China is pending. Minister Pastor assured that negotiations for a free trade agreement with China are in the final stages. This agreement is expected to provide essential guarantees to bolster the competitiveness of local shrimp products in the Chinese market.

Government’s Role in Market Access

Recognizing the plight of shrimp producers struggling to export their goods, the government is actively facilitating access to new markets beyond China. Efforts are underway to assist producers affected by reduced Taiwanese demand by exploring opportunities in South Korea, where a niche market is willing to pay premium prices for shrimp.