GLOBAL SHRIMP PRODUCTION, TRADE AND MARKET TRENDS

Shirlene Maria Anthonysamy

Director

INFOFISH

GLOBAL SEAFOOD TRADE

Source: FAO

• The past 15-16 months has been challenging

for the global seafood sector

• However, there’s some positive outlook

foreseen for fisheries production

• Inspite of a very challenging beginning, many

producers/retailers adapted

• New opportunities have emerged amidst the

adaption process to the COVID 1-9 challenges

• Vaccine roll out programme across the globe –

better consumer confidence, facilitate trade

• Stricter sanitary requirements and inspection

protocols

Global Shrimp Production

World Production of Farmed Marine Shrimp (Pacific white and black tiger ), in 1000 tonnes

Country 2016 2017 2018 2019 2020 (e)

China 800 700 850 800 500

India 400 700 670 804 640

Viet Nam 240 600 650 550 465

Indonesia 390 450 355 370 285

Thailand 300 305 300 300 285

Philippines 60 70 72 72 37

Bangladesh 50 60 35 30 25

Malaysia 30 35 48 50 45

Total Asia-Pacific* 2270 3020 3100 3135 2385

Latin America ** 600 700 700 800 975

Total 2870 3720 3800 3935 3360

Source: Industry sources /regional webinars, Aqua Culture Asia Pacific Magazine

Notes: *includes Myanmar, Australia, Iran, Saudi Arabia. ** Ecuador (705 000 tonnes), Mexico,

Brazil, Peru, Nicaragua, Colombia and others in Central America –

Credit: Fatima Ferdouse.

• Global production of

marine farmed shrimp in

2020 was nearly 15%

lower

• Asia not performing as

2019

• 20% decline from Asian

sources

• Production increased by in

Latin America - significant

rise in Ecuador’s harvest

INTERNATIONAL SHRIMP TRADE

0

500000

1000000

1500000

2000000

2500000

3000000

3500000

2015 2016 2017 2018 2019 2020

IMPORTS EXPORTS

WORLD SHRIMP IMPORTERS

World top importers of shrimp (all types)

2018 2019 2020% change

2020/2019% change

2019/2018

Imports (1000 MT)

EU28 832.7 807.7 814.8 1.0 -3.9

USA 698.7 700.8 747.4 6.65 0.4

China 258 720.4 613 -14.9 179.22

* 458 816.4 700 -14.2 78.2

Japan 219.2 221.6 210.2 -5.14 1.09

South Korea 77.3 78.8 77.9 -1.14 1.94

Canada 55.7 55.1 54.1 -1.18 -1.08

Vietnam 360.0 115.1 50 -56.5 -94.00

Total

Source: TDM

• Top 4 markets: EU, USA, China and Japan 2.4% lower than 2019 at 2.485 million tonnes

• USA overtook China as the single largest shrimp market, 6.65% increase in imports

WORLD SHRIMP EXPORTERS

Exports

(1000 MT)

2018 2019 2020% change 2020/2019

% change 2019/2018

Ecuador 508.9 647.8 692 6.82 27.29

India 617.4 672.2 579.5 -13.78 8.88

*Vietnam (est) 570 390.1 398 2 -31.50%

Indonesia 196.9 207.2 236.7 14.21 5.23

China 202.2 155.4 151.7 -2.38 -23.15

Thailand 171.5 168 147.3 -12.32 -2.04

Argentina 185.4 165.4 129.7 -21.58 -10.79

• Ecuador – overtook India as the largest exporter of shrimp• Increased by 100 000 MT supported by competitive export prices in the world market• 52% increase to the US, 23% to the EU and 55% to Russia• Proximity to the US and 0% duty status to the EU

USA Shrimp Imports (MT)(Jan-March 2019-2021)

0

10000

20000

30000

40000

50000

60000

70000

2019 2020 2021

India Indonesia Ecuador Others

• Sixth consecutive year on the

rise.

• With lower exports India

remained the top supplier

while imports increased from

Indonesia and Ecuador.

• Demand trend of 2020 also

persisted during the first

quarter of 2021.

• Ecuador: steady supply/ robust

marketing strategy

EU 27 Shrimp Imports (MT)Jan-March 2019-2021

0

20000

40000

60000

80000

100000

120000

140000

2015 2016 2017 2018 2019 2020

Ecuador Greenland Argentina India Vietnam

• Supplies from Ecuador play a

significant role

• Shrimp trade weakened in 2020

even-though summer demand was

better compared with the rest of

the period.

• Imports of cold water shrimp

increased

•

Japan Shrimp Imports (MT) Jan-March 2019-2021

• Consumption of shrimpwas low

• Restaurant trade has beenequally dull

• Imports in 2020 declined totwo-decade low

• Imports increased fromIndia and Indonesia

0

2000

4000

6000

8000

10000

12000

2019 2020 2021

Vietnam Indonesia India Thailand Argentina Others

CHINA - FOCUS• Shrimp demand improved in the market, facilitated by the

rising e-commerce.

• Restaurant business also improved

• Ecuador - the top supplier despite some transitory restrictions on exports to China.

0

10000

20000

30000

40000

50000

60000

70000

80000

90000

100000

2019 2020 2021

China Shrimp Imports (MT)

Jan - March 2019-2021

Ecuador India Malaysia Canada Thailand Vietnam Others

0

1000

2000

3000

4000

5000

6000

7000

2019 2020 2021

China Shrimp Exports (MT)

Jan - March 2019 - 2021

Japan Hong Kong United States Mexico

ASIA AND OTHER MARKETS

0

2000

4000

6000

8000

10000

12000

14000

16000

18000

20000

South

Korea

Taiwan Hong Kong Malaysia Thailand Australia Singapore Indonesia New

Zealand

Philippines

Asia Shrimp Imports (MT)

Jan - March 2019-2021

2019 2020 2021

Shrimp Price Trends

0.00

0.50

1.00

1.50

2.00

2.50

15-J

an-15

1/Apr

/15

15/J

un/15

1/Se

p/15

15/N

ov/15

15/F

eb/16

1/M

ay/16

15/J

ul/16

1/Oct

/16

15/D

ec/16

15/M

ar/17

1/Ju

n/17

15/A

ug/17

1/Nov

/17

1/Fe

b/18

15/A

pr/18

1/Ju

l/18

15/S

ep/18

1/Dec

/18

1/M

ar/19

15/M

ay/19

1/Aug

/19

15/O

ct/19

15-J

an-2

0

1/Apr

/20

15/J

un/2

0

1/Se

p/20

Frozen Shrimp Prices, Wholesale Tokyo, Japan (Yen/kg)

Vietnam: B/tiger, HL, 16/20 India: B/tiger, HL, 16/20

Source: INFOFISH Trade News

• Although prices stopped falling, increases marginal• New season’s harvest in SEA may see some price adjustment for fresh

shrimp

Emerging Trends

Challenges What facilitatedDepressed demand/Disruption in distribution channels/supply

chain/seafood value chain disruptions

Technology to tackle disruption in supply chain, Door-to-door

sale of fish is becoming a new trend

Seafood demand and supply imbalance Suspension of exports and imports to stabilize domestic supply

and strengthen food security

Loss of Markets Diversification; review consumers buying power where shrimp is

not an essential item in the food basket.

Aqua farms and fishing boats are operating with less workers due

to movement restrictions

Funds set aside to support local fishermen, aquaculture farmers,

and seafood processors as well to combat illegal fishing

Major airlines cancelling some domestic and international flights to

and from their main airports

Pushed for new markets - divert shipments to the new closer

markets

People went into lockdown, quarantine work from home, people still

wanted to eat and they still want to eat good food

Strong demand for frozen and shelf-stable seafood / Supply

diversification

Shift in consumer preference Exports of processed, ready-to-serve and canned seafood

products, frozen seafood

Food safety issues Increase organic seafood sales

Higher operation costs Government interventions/stimulus packages

Trade Barriers Relaxation on the regulations

How the industry survived??

Delivery

Institutional retailers

Producers/Processors/Wholesalers

SEAFOOD STILL “ON AIR”

SOCIAL MEDIA

ONLINE MARKETPLACEDigital technology to keep up with the growing demand of a new generation who prefer having their fish packaged and sent

to their homes and pay less than they would if they went to a real market

URBAN AQUAPONICS: AN INNOVATIVE WAY TO PRODUCE FISH AND PLANTS AMIDST THE COVID-19 PANDEMIC

Empowering Communities to produce own food

• Ecuador will be playing a bigger role in supply

• Forecast: shrimp production during 2021 – may not go beyond 2020

• Indonesia and Vietnam – likely to see some increases in production

• China is still unclear but production is unlikely to increase much compared with 2020.

• Some price stability or even increases in some cases can be expected

• Better consumer confidence, summer consumption is expected to better

• Era of online seafood trading

• Retail/consumer packs for frozen products – consumers eating more at home

OUTLOOK

A recent report by the World Trade Organisation indicates that the "coronavirus

pandemic has caused a “deeper but less prolonged decline in trade” than initially

expected". The estimate for the contraction of global trade in 2020, 9.2% and grow at

7.2% forecast for 2021. It was earlier forecast that global trade would contract by

between 13 and 32 per cent this year.

• Lifting of lockdowns is facilitating some recovery.

• Market diversification has become even more important: New markets sought for supplydiversification

• International trading continues to pose obstacles and delays with a lot of with additional checks/requirements at borders etc.

• Focusing on the domestic market remains the best bet at this point as governments are prioritizing food security.

Take away message

“Covid-19 is a catalyst of digital transformation in Southeast Asia,” Lazada Group CEO Pierre Poignant said. “When consumers build a habit, it doesn’t easily go away.

E-commerce will become a way of life.”

Will the bubble burst?

• No specific data available on the volume or at least on the value of seafood sold online and consumed through food delivery just yet, but the demand for this is stronger

• Food service is being digitized and nearly 50% of the world population is using social media now

• Innovation and technology are crafting and moulding the path to recovery, the adaptation.

• This is going to characterize the growth in the industry from now on and should be tapped

• Focus should be on how to cater to the consumers better, longer shelf live and variety, convenience