The raw material supply of white shrimp in Vietnam may continue to be tight until the second half of the year
By: Date: 2022-07-15 Categories: Internationalfood Tags: ,
   越南虾企Sao Ta Foods(也称Fimex Vn)称,今年上半年越南南美白虾原料价格居高不下,原料供给短缺,并预计类似情况将延续至下半年。

 
“The breeding of South American white shrimp has encountered disease problems, the supply of raw materials is limited, and the price remains high. For the rest of this year, the source of raw shrimp may be sharply reduced, because many farmers are unwilling to plant seedlings in the second quarter, because they are afraid of potential disease risks.” Fimex said.
 
In the U.S. market, Vietnam competes with cheap shrimp from Ecuador and India, which has an impact on the performance of finished product prices. In addition, due to the rise in oil prices and the incompleteness of Vietnam’s supply chain, logistics costs rose sharply, which had an impact on the performance in the first half of the year.
 
Fimex said that the global market is experiencing a new round of inflation, and the demand has not increased as expected.
 
In the first half of 2022, the shrimp production of fimex reached 10744 tons, an increase of 9%over the first half of 2021. The company improved its production and operation by reducing internal costs. In the first half of the year, its revenue reached $118.6 million, with a year-on-year increase of 36%, and its profit is expected to increase by about 40%year-on-year.
 
Fimex said that the company’s business strategy is to increase exports to markets that match the company’s strength and have higher profit margins, and strengthen cooperation with trusted existing farmers in the second crop breeding.