VietNam pangasius exports to hit US$1.66 billion in 2016

In 2016, Vietnam’s pangasius exports estimated to touch US$1.66 billion, rising 7% from the previous year and accounting for 24% of total seafood export turnover.

In 2016, Vietnam’s pangasius was destined to 137 markets around the world, including the US (with the largest share of 23%), China (17%) and the EU (slipped to the 3rd rank with the share of 16%).

In the last 2 months of QIII/2016, Vietnam’s pangasius exports to the EU reached US$20-21 million per month, while those to China amounted to US$30-31 million per month, almost equal to sales to the US. In QIV/2016, shipments to China outstripped the US. China sharply raised imports of Vietnam’s pangasius, which significantly influenced on raw pangasius market in the Mekong Delta and led to the local shortage for production and exports in late 2016.

Currently, Vietnam has more than 100 pangasius producers and exporters, including 20 large enterprises  which take up about 80% of the whole industry and hold 70-80% of total material production. In 2017, Vietnam’s pangasius exports forecasted to value at over US$1.7 billion, slightly increasing by 4% year on year. In particular, the US is the destination for 2-3 big enterprises, while other enterprises will focus more on exports to China, the EU, ASEAN and boost those to Russia.

The US

Through Nov 2016, Vietnam’s pangasius exports to the US hit US$354.2 million, up 22.2% over the same period last year and accounted for 22.9% of total pangasius exports. In recent years, enterprises had faced challenges in exports to this importing market due to high anti-dumping duty and the catfish inspection program. Now, only 2-3 large enterprises remained their exports to the market.

With a number of strict regulations, USDA's catfish inspection program will be a technical barrier for Vietnam’s pangasius enterprises in the coming time. Although this program hasn’t had strong impacts on pangaius export turnover to the US, it influcened on exporters’ sentiment.

EU

As of Nov 2016, Vietnam’s pangasius exports to EU achieved US$238.8 million, down 9.9% year on year. Due to the continuous declines in the last 3 years, the EU has slipped to the 3rd rank (behind China) in top 3 largest importers of Vietnam’s pangasius.

China – Hongkong

As of Nov 2016, Vietnam’s pangasius exports to China - Hong Kong reached US$270.6 million, remarkably rising by 84.4% compared to same period last year. This market ovetook the EU to rank the 2nd out of top leading buyer of Vietnam’s pangasius in 2016. With this strong growth as now, China - Hong Kong expected to become the largest importer of Vietnam’s pangasius in the next year.

Vietnam’s pangasius exports in 2016 forecasted to total US$1.66 billion, up 7% compared to the same period last year. In the first half of 2017, Vietnam’s pangasius exports to major importing markets such as the US, China, ASEAN expected to continue the rise. However, exports to the EU predicted to decrease by 3-5% over the same period in 2016.

In 2016, Vietnam’s pangasius enterprises had to face difficulties due to a shortage in raw materials and fluctuations in material prices.

As reported by the Ministry of Agriculture and Rural Development, in 2016, pangasius output in the Mekong Delta totaled 1.19 million MT, with the farming area of over 5,500 hectares. In 2017, the area for pangasius farming expected to increase slightly to 5,600 hectares with the yield of 1.2 million MT.

Written by Ta Ha

Compiled by Dieu Thuy