Vietnamese shrimp processors have to import raw materials from other countries to recoup the huge amount of domestic goods that have been exported to China.
Vietnam’s shrimp export to China rose 49 percent year-on-year in 2013, of which processed shrimp only accounted for a mere 6 percent, Truong Dinh Hoe, general secretary of the Vietnam Association for Shrimp Exporters and Processors, said at a meeting on Monday.
Ninety-four percent of the exports are raw or frozen shrimps used by the food processing companies, Hoe said.
The meeting is held in Ca Mau by the agriculture ministry to discuss a development plan for next year with shrimp processors and exporters.
VASEP said many local traders have increased sales from local shrimp growers and exports to China, leaving behind a shortage of raw shrimp for the Vietnamese processors.
Many businesses thus had to import raw shrimp from India or Ecuador, the association said. Vietnam imports some 270,000 tons of shrimps from India, and 230,000 tons from Ecuador, VASEP figures show.
Hoe called on the government to release policies to limit raw shrimp exports to China.
This will increase the value of the country’s shrimp export, while allowing local processors access to local shrimp.
Vietnam exported $2.5 billion worth of shrimp in the year to October, a 33 percent increase compared to last year.
Whiteleg shrimps post $1.2 billion export revenues, while $1 billion of black tiger prawns have been exported.