As demand surges, Japanese scallop export prices to the U.S. soar 89%

The Japanese seafood industry has been significantly impacted by China's ban on Japanese aquatic products, leading to a 30% drop in exports to that market. The industry has pivoted its strategy, with large scallops being redirected to the North American market, which has absorbed half of these exports, resulting in a 332% year-on-year increase in export volume to 2.37 billion yen in January. The surge in demand has driven the price of large scallops to over 10,000 yen per kilogram, more than three times the 2019 price. This price hike, coupled with issues of speculative stockpiling and market imbalance, presents challenges for the industry. Additionally, there are concerns about the sustainability of scallop breeding practices and the potential risks of resource overdraft. The industry's future direction and its ability to adapt to changing market dynamics, including the shift towards direct purchases by US importers and the maturation of Thailand's processing system, are key issues that need to be addressed.