Shrimp exports plummeted by 55% year-on-year in January to US$141 million due to weaker global demand and stronger competition from other countries.

Exports to the U.S. were worth $23 million, down 65%, the sharpest decline among all markets, according to the Vietnam Association of Seafood Exporters and Producers.

Shipments to the EU were down 55% to $24 million. Vietnam’s largest market, Japan, imported $29 million worth of shrimp, a 47% decline.

A major reason for the fall in exports was that demand in the EU was weaker because of the impact of inflation and uncertainties related to the Russia-Ukraine conflict.

Vietnam also saw heightened competition from rivals such as Ecuador and China.

Shrimp exports would face a lot of challenges this year due to the unfavorable global economic situation, which would drive down demand, and high inventories in many markets, the association said.

Exporting to Japan is becoming increasingly difficult because of the high hygiene, safety and sustainability standards the country has, it said.

However, China’s reopening in January would help the Vietnamese fisheries sector realize its export target of over $10 billion this year, including $4 billion worth of shrimps, it added.

VnExpress