The latest data from the US Department of Agriculture paints a dynamic picture of the seafood trade landscape. Despite a noticeable decrease in both imports and exports in 2023, the demand for seafood in the US market has been steadily increasing. NOAA statistics reveal a significant shift, with imports dropping from USD 30 billion in 2022 to USD 25.3 billion in 2023, and exports slightly declining from USD 5.1 billion to approximately USD 5 billion during the same period.

Interestingly, average seafood consumption per capita has been on the rise, climbing from 16 pounds per person in 1995 to 20.5 pounds per person by 2021, according to NOAA. However, approximately 80% of seafood consumed in the US is still imported, indicating a growing reliance on foreign markets to meet domestic demand.

Insights from the 2024 Global Seafood Market Conference

The 2024 Global Seafood Market Conference, hosted by the National Fisheries Institute in Orlando, Florida, provided valuable insights into the current state and future projections of the US seafood industry. Despite encountering challenges in 2023, experts forecast stable sales for fresh and frozen seafood in 2024. In the previous year, inflationary pressures and depleted savings contributed to a decline in overall sales.

Specifically, chilled fin fish consumption experienced a 3.8% decrease compared to 2022, with a corresponding 1.8% decline in revenue. Similarly, frozen fin fish consumption and revenue dipped by 4.2% and 3.1%, respectively. However, there was a slight uptick in frozen shellfish consumption, driven primarily by increased crab consumption, despite a 5.6% decrease in revenue.

Seizing Opportunities in the Shrimp Market

Shrimp imports into the US have witnessed a notable upsurge, as reported by the US National Oceanic and Atmospheric Administration (NOAA). December 2023 saw the importation of 65,567 tons of shrimp, valued at USD 515.9 million, reflecting a 6% increase in volume but a 5% decrease in value. This marks the sixth consecutive month of rising shrimp imports, leading to a glut in supply and subsequent price reductions in the market.

Despite challenges, Vietnam emerges as a promising player in the US shrimp market. While other major suppliers like India, Ecuador, and China continue to grapple with various obstacles, Vietnam stands out. The ongoing trade tensions between the US and China have significantly impacted the latter’s shrimp exports, resulting in substantial market share losses.

Outlook for 2024 appears optimistic

Dr. Can Van Luc, a Member of the National Policy-Finance-Monetary Advisory Council, notes a temporary setback in Vietnam’s exports to the US in 2023 due to inflationary pressures. However, the outlook for 2024 appears optimistic, with signs of demand recovery and favorable trade policies between Vietnam and the US. Notably, US initiatives aimed at diversifying imports away from excessive reliance on Chinese goods present a golden opportunity for Vietnamese exporters to expand their presence in the US shrimp market.