Why are pangasius exports to the EU still struggling?

VCN - Pangasius exports in the first months of 2021 grew quite well, but exports to the EU market decreased. In the last three years, the value of pangasius exports to the EU has not been able to escape dismal negative growth.
Many seafood exports have increased sharply Many seafood exports have increased sharply
Why did the Chinese market leave the top position of importing Vietnamese pangasius? Why did the Chinese market leave the top position of importing Vietnamese pangasius?
Pangasius reversed, pushing up seafood exports Pangasius reversed, pushing up seafood exports
Why are pangasius exports to the EU still struggling?
Processing pangasius for export at Hung Hau Company (Photo provided by enterprise)

According to the Vietnam Association of Seafood Exporters and Producers (VASEP), in the first months of 2021, pangasius exports of Vietnamese enterprises are recovering better than expected, with an increase of 26% to reach US$134 million in May, after increasing by US$25.8 million to reach US$145 million in April. In general, export turnover of pangasius in the first 5 months reached US$623 million, up 12%.

According to the analysis of VASEP, pangasius exports recovered thanks to the main markets of the US, China, and Europe, which increased their purchases. In particular, the US market had the strongest increase thanks to the widely used Covid-19 vaccine, and importers increased their purchases to serve the reopening of food services. Pangasius exports to the US market in May 2021 made a breakthrough with an increase of about 200%, reaching US$33 million, bringing the export results of the first 5 months of 2021 to US$135 million, up 57% over the same period in 2020.

Contrary to the general situation, pangasius exports to the EU market continued to decrease. In the last three years, the export value of pangasius to the EU has not been able to escape negative growth.

The total value of pangasius exports to the EU market reached US$39.4 million in the first half of May 2021, down 26.2% over the same period last year. Of which, the export value to the Netherlands decreased by 21.7%; Spain down 33%; Germany fell 50.8% and Belgium fell 38.2% over the same period last year.

VASEP said that according to sources from some major EU importers, in 2020, the EU seafood market will be strongly affected by Covid-19, the distancing measures in Italy, France, Germany will have an impact on the circulation of goods inside and outside the bloc. In early 2021, the EU retail market increased sharply, increasing by 30% compared to the previous year. However, the food service industry (restaurants, hotels) is still very slow to recover.

In addition, FOB importers face difficulties due to high sea freight costs, pangasius prices in the EU remain stable, but many importers are still hesitant to purchase. In March 2021, the price of pangasius in Ho Chi Minh City was about US$2.2/kg and US$3.3/kg with high-grade, untreated fillets.

According to Ms. Ta Ha, VASEP's pangasius market specialist, most pangasius products are supplied through importers and wholesalers and eventually retail and food services across Europe. Specialized importers will import pangasius products by container ship (for frozen products) to Europe. They will sell pangasius directly to relevant market segments or add value to the pangasius product before bringing the product to market.

Currently, Bangladesh and China are two competitors of Vietnamese pangasius, although the volume of imports from these two markets still accounts for a small proportion, the import value is increasing.

Currently, the majority of pangasius products exported to the EU are frozen pangasius fillets. In particular, the Netherlands is the largest export market of Vietnamese pangasius, this is also the market for importing large value-added pangasius products.

In the context of the Covid-19 pandemic, seafood businesses believe that the export progress of two key products, pangasius and shrimp, will depend mainly on market fluctuations. The widespread deployment of vaccinations in these markets helps people gradually feel secure and return to tourism, entertainment and public activities, so demand will recover as well as restaurants, hotels and services.

The US market will continue to be a bright spot for Vietnamese seafood, with an anticipated increase in demand for shrimp, pangasius, tuna and other seafood.

Currently, there are about 13 enterprises exporting pangasius to the Dutch market, of which the three largest exporters are NTSF; GLORY CORP and GLORY.

By Le Thu/Phuong Thao

Related News

Make great efforts to collect import and export taxes under impact of FTA

Make great efforts to collect import and export taxes under impact of FTA

VCN - In the context of implementing new-generation FTAs, the state revenue from import and export activities is greatly affected. Customs Magazine had an interview with Mr. Nguyen Quoc Huy, Deputy Director of the Customs Research Institute, General Department of Vietnam Customs on this issue.
How is Vietnam-US trade under two Trump elections?

How is Vietnam-US trade under two Trump elections?

VCN - In the first nine months of 2024, Vietnam-US trade reached nearly US$100 billion, nearly three times higher than the same period in 2016 - the first year Donald Trump was elected President of the United States.
Terminate Pilot Project on Importing Medicinal Herbs across Chi Ma Border Gate

Terminate Pilot Project on Importing Medicinal Herbs across Chi Ma Border Gate

VCN - On October 30, 2024, the Government issued Resolution No. 210/NQ-CP on terminating the Pilot Project on Importing Medicinal Herbs under Resolution No. 111/NQ-CP dated September 23, 2021 of the Government on implementing the Pilot Project on Importing Medicinal Herbs across Chi Ma Bilateral Border Gate (Lang Son).
Increasing opportunities for exporting agricultural products to China by rail

Increasing opportunities for exporting agricultural products to China by rail

VCN - China is the largest export market for Vietnamese agricultural products and fruits. With increasing demand, exporting agricultural products by rail to this billion-people market is a potential and promising direction.

Latest News

Investment funds eye Vietnam

Investment funds eye Vietnam

Several large foreign investment funds are considering expanding investments in Vietnam to capitalise on the country’s rapid socio-economic development and green transition.
Export turnover of computer, electronic products and components reaches over US$ 55 billion

Export turnover of computer, electronic products and components reaches over US$ 55 billion

VCN – As of October 15, the export turnover of computers, electronic products and components earned US$ 55.3 billion, the General Department of Vietnam Customs (GDVC) reports.
Positive outlook for pangasius exports in the final months of the year

Positive outlook for pangasius exports in the final months of the year

VCN - With growth in pangasius exports to multiple markets showing positive trends, businesses are forecasting an optimistic outlook for exports in the final months of the year.
Processing-manufacturing accounts for over 64% of new FDI

Processing-manufacturing accounts for over 64% of new FDI

The processing and manufacturing sector took the lead in attracting foreign direct investment (FDI), accounting for 64.2% of the 27.26 billion USD recorded as of October 31, according to the General Statistics Office.

More News

Foreign investment disbursement hits 19.58 bln USD in 10 months

Foreign investment disbursement hits 19.58 bln USD in 10 months

Disbursement of foreign investment reached about 19.58 billion USD in the first 10 months of this year, up nine% year-on-year, a report from the Ministry of Planning and Investment's Foreign Investment Agency (FIA) has shown.
“Greening” the textile, garment and footwear industry: Motivation from challenges

“Greening” the textile, garment and footwear industry: Motivation from challenges

VCN - Vietnam's textile and footwear industry is facing great pressure to satisfy more demanding requirements from international brands and national commitments on emission reduction while the input material and production costs are escalating.
Truly comprehensive finance: supporting micro and small enterprises

Truly comprehensive finance: supporting micro and small enterprises

VCN - To effectively support micro and small enterprises, Dr. Nguyen Duc Kien (pictured), former Deputy Chairman of the National Assembly's Economic Committee, former Head of the Prime Minister's Advisory Group, and Chairman of the Scientific Council of the Institute for Digital Economic Development Strategy (IDS), suggests that specific and specialized solutions and policies are needed to enhance these businesses' access to capital and technology.
Challenges in reviving stalled projects

Challenges in reviving stalled projects

VCN - Recently, some "frozen" real estate projects have shown signs of restarting. However, successfully reviving these projects is no simple task for businesses (DN) due to the numerous difficulties and challenges they face.
Ensuring fairness between domestically produced goods and imported goods

Ensuring fairness between domestically produced goods and imported goods

VCN - Mr. Chu Thang Trung, Deputy Director of the Trade Remedies Authority, Ministry of Industry and Trade, shared about the application of trade remedies measures to protect domestic production and some solutions in the coming time.
Domestic exporters urged to shield against trade remedy threats

Domestic exporters urged to shield against trade remedy threats

Vietnamese exporters are navigating a landscape filled with both promise and peril, and experts urge them to bolster their defence against trade remedy investigations while capitalising on surging global demand.
Enterprises urged to further innovation, improve competitiveness to boost exports to Asia

Enterprises urged to further innovation, improve competitiveness to boost exports to Asia

Vietnamese enterprises need to make efforts to innovate, proactively improve competitiveness, and participate in new supply chains to boost exports to Asia, said trade official.
Monthly aquatic exports top 1 billion USD again after 2 years

Monthly aquatic exports top 1 billion USD again after 2 years

Monthly aquatic exports have exceeded 1 billion USD again in October after more than two years, signaling a rosy future for the industry, according to the Vietnam Association of Seafood Exporters and Producers (VASEP).
EU partners no longer

EU partners no longer 'lenient', Vietnam must adapt through ESG policies

VCN - Legal and economic experts are calling for Vietnam to revamp its policies to align with stringent sustainable development requirements set by European Union (EU) partners.
Read More

Your care

Latest Most read
How is Vietnam-US trade under two Trump elections?

How is Vietnam-US trade under two Trump elections?

VCN - In the first nine months of 2024, Vietnam-US trade reached nearly US$100 billion, nearly three times higher than the same period in 2016 - the first year Donald Trump was elected President of the United States.
Investment funds eye Vietnam

Investment funds eye Vietnam

Several large foreign investment funds are considering expanding investments in Vietnam to capitalise on the country’s rapid socio-economic development and green transition.
Export turnover of computer, electronic products and components reaches over US$ 55 billion

Export turnover of computer, electronic products and components reaches over US$ 55 billion

VCN - The export turnover of computers, electronic products and components increased by 26.7% year-on-year (equivalent to an increase of US$11.67 billion).
Positive outlook for pangasius exports in the final months of the year

Positive outlook for pangasius exports in the final months of the year

VCN - With growth in pangasius exports to multiple markets showing positive trends, businesses are forecasting an optimistic outlook for exports in the final months of the year.
Processing-manufacturing accounts for over 64% of new FDI

Processing-manufacturing accounts for over 64% of new FDI

The processing and manufacturing sector took the lead in attracting foreign direct investment (FDI), accounting for 64.2% of the 27.26 billion USD recorded as of October 31, according to the General Statistics Office.
Mobile Version