Farmers stop shrimps farming with no profit made

In Khanh Hoa, shrimp prices plummeted, consumption was slow, price of raw materials increased, farmers stopped stocking because there was no profit, farming area decreased sharply.

After harvesting, many households were not interested in seeding and stopped raising, or reduced the density, raised in moderation. Photo: KS.

50% of farming area ceased production

Mr. Nguyen Gan, a whiteleg shrimp farmer in Van Tho commune (Van Ninh, Khanh Hoa) said that since the beginning of the year, shrimp farmers in the area have been relatively successful. However, shrimp price continuously decreased causing farmers to face many difficulties and unprofitable harvest.

According to Mr. Gan, the current price of shrimp is only 78,000 VND/kg for 100 shrimp/kg, while at the beginning of the year it was at 100,000 VND/kg. Additionally, the consumption is also very slow, it takes farmers a whole week to call traders to the pond to purchase.

“With the current price of shrimp, farmers are not very profitable, and even suffer heavy losses. Traders explained that the sharp drop in shrimp prices was mainly due to difficult transportation through checkpoints, plus some factories stopped production due to the impact of Covid-19 or no workers," he said.

Meanwhile, many types of materials such as aquatic drugs, feed, seed ... for shrimp farming have increased by 10% or more. This distresses many shrimp farmers, because they do not know whether the price in the near future will increase or continue to decrease.

For Mr. Ho Muoi's family, in Tuan Le village, Van Tho commune, there are currently 4 shrimp farming ponds, in which 2 ponds with a total area of ​​nearly 4,000 m2 raising for 3 months, ready for harvest because the shrimp has reached 80-100 pieces/kg. However, Mr. Muoi still has to try to keep farming to wait for the price to rise.

Mr. Muoi lamented that his family's 2 ponds had suffered from white feces disease, so they lost a lot, they can only harvest about 10 tons at the very least. While his investment cost was more than 700 million, excluding care. If sold at the current shrimp price, loss will be guaranteed.

In Ninh Phu commune (Ninh Hoa town), many whiteleg shrimp farmers are also upset because  commercial shrimp price has also plummeted, consumption is slow, making farming unable to make profits. Even Mr. Le Minh Chinh in Ninh Phu commune applied shrimp farming according to Semi biofloc technology to reduce input costs and exported 40 tons of shrimp but only managed to break even.

Mr. Chinh said that the impact of Covid-19 caused prices to drop, making it difficult for farmers to make profit. Recently, he raised shrimp with a large pond of 50 shrimp/kg but only sold at a low price of 100,000 VND/kg. Facing the current situation and not knowing the future of the shrimp price, he chose to cut the farming area by half compared to normal.

Mr. Tran Quang Khanh, Chairman of Van Tho Commune Farmers' Association, said that only 25/52 hectares of the commune are stocking shrimp. The rest is currently suspended due to the increase in the price of shrimp seed and feed by nearly 2,000 VND/kg, while the price of commercial shrimp is at a low level of only 78-80,000 VND/kg (100 shrimp/kg), market price.

In addition, due to the implementation of social distancing according to Directive 16, farmers in the area cannot hire workers to clean ponds, leaving many areas unable to stock seeds.

Mr. Pham Thanh Sinh, Chairman of the People's Committee of Ninh Phu commune, Ninh Hoa town said that the whole commune has 110 hectares dedicated to whiteleg shrimp farming. Recently, the locality implemented social distancing according to Directives 16 and 15, but still created conditions for businesses and people to buy and consume seafood.

For businesses, if all the required documents are present, they will be allowed to the shrimp collection area. Thanks to that, there was no situation of shrimp reaching the harvest period without being sold. However, due to the impact of the pandemic, the price of shrimp has dropped, currently at only 78,000 VND/kg (100 shrimp/kg) so farmers are not profitable or even suffering loss. Therefore, after harvesting, farmers stocked at a lower density.

Resolving circulation, transportation

Mr. Vo Khac En, Deputy Director of Khanh Hoa Department of Fisheries, confirmed that the low price of white-leg shrimp has affected farmers' income. As such, farmers have temporarily stopped stocking, because farming is not effective, and it is easy to lose money. However, the Sub-Department recommended that farmers in the area continue to maintain stocking at this time with a moderate density, meeting enough supply and demand during the pandemic.

Regarding the reason for the low price of shrimp, according to Mr. En, it is mainly due to difficulties in transportation from the point of purchase to the processing factory, and the price of transportation has increased. In addition, businesses follows the "3-on-site" production to ensure the prevention and control of the pandemic, which is expensive and lacking workers.

Therefore, in order to solve the problem of not disrupting the supply - demand chain, Mr. En said that the first important factor is to resolve the transportation and circulation of goods. “The State must facilitate the circulation of inputs and post-harvest output products transport. With that, businesses will be able to purchase conveniently, reducing shipping costs. If this stage is thorough, everything will be resolved as well, "said Mr. En.

According to Mr. En, currently through information, importing countries are in need of a large supply of shrimp. This is an opportunity for our country to increase the farming area. However, because the implementation of social distancing, difficulty in the circulation and transportation of raw materials and supplies, high costs, and a lack of workers, resulting in the biggest barrier.

On the other hand, the state should also provide support policies for businesses such as reducing loan interest, freezing debt, etc. to enable businesses to operate because "3-on-site" operation is expensive due to labor concerns. on-site accommodation, costs of Covid-19 testing…

In addition, localities must also create favorable conditions for farmers to produce and consume aquatic products. Since the beginning of the year, aquaculture production in Khanh Hoa province has reached about 12,000 tons. Thanks to the favorable purchasing conditions, seafood is also gradually consumed, so there is not much stockpile.

Lobster price also fell

Beside the falling price of white leg shrimp, price of lobster of all kinds in Khanh Hoa province is also decreasing. According to Mr. Nguyen An, Chairman of Cam Binh Commune, Cam Ranh City, the "capital" of lobster farming in Khanh Hoa, currently the price of commercial blue lobsters in the area ranges from 650 to 700 thousand VND/kg (3 heads/kg), while cotton lobsters price ranges from 1.2 - 1.8 million VND/kg (depending on the type). Compared to 4 months ago, the price of blue lobster has decreased by 100-200 thousand VND/kg, while cotton lobster has decreased by 200-400 thousand VND/kg.

According to lobster farmers in Cam Binh commune, at the current price of lobster, farmers can harvest for a little profit, but not much. If the price continues to fall, there is a risk of loss.

According to Mr. An, even though the price of lobster is low, the purchase of lobsters in the area is ongoing. Traders are allowed to buy shrimps for farmers, but must comply with regulations on disease prevention and control. Thanks to that, Cam Binh commune still maintain production while ensuring epidemic prevention, with no Covid-19 cases.

In the first 8 months of 2021, Cam Binh commune has supplied about 300 tons of commercial lobster and is expected to supply another 100 tons by the end of the year.