Frozen shrimp products of the Minh Phu Seafood JSC (Photo: VNA)

HCM City - Vietnam's aquatic product exports could reach 9.5 billion USD in 2024, said Nguyen Thi Thu Sac, Chairwoman of the Vietnam Association of Seafood Exporters and Producers (VASEP).

Data from VASEP showed that aquatic product exports raked in over 1.3 billion USD in the first two months of 2024, up 23% year-on-year. Of which, both shrimp and tuna exports increased by 37% compared to the same period last year while tra fish (pangasius) exports rose by 15% and other types of fish by 8%.

Kim Thu, a shrimp market expert, said by the end of February, shrimp export turnover reached approximately 460 million USD. Such markets as China, the US, Japan, Canada and Australia, have all seen substantial increases, she added.

In January, China surpassed the US to become Vietnam's largest shrimp importer. It is forecast that China's shrimp imports in 2024 will increase, creating more opportunities for Vietnamese shrimp.

Pangasius export turnover in the first two months of this year was also positive after recording consecutive declines in 2023, raking 275 million USD. Exports to some markets like the US and China will bounce back due to reduced inventories and increasing demand. The pangasius market of China is expected to be more vibrant thanks to the country’s support policies to stimulate consumption in the first half of 2024.

However, insiders said there are still challenges to overcome such as oversupply, high inventories, lower purchasing prices and increased competition. Tensions in the Red Sea leading to increased transport costs, the European Commission's "yellow card" warning against Vietnamese seafood and anti-subsidy lawsuits will likely pose additional difficulties for businesses this year.

VASEP's Director for Communications Le Hang said that the US and EU's bans on Russian aquatic products as well as China's ban on Japanese aquatic products, and the US and EU's warnings against forced labour at China's processing factories are motivating US, European and Japanese businesses to seek processing partners in Vietnam.

Hang advised Vietnamese businesses to review their market strategies and suggest them focus on the domestic market with a population of 100 million as their living standards have improved.

VASEP Chairwoman Nguyen Thi Thu Sac urged businesses to take measures to turn these challenges into opportunities, exploiting and developing suitable products for international markets.