High costs, poor security are threatening the Ecuadorian shrimp industry in 2023

Published 2023년 2월 28일

Tridge summary

Ecuador's shrimp industry is grappling with significant challenges in 2023, including the end of energy price support, rising feed prices, and supply chain issues. These challenges have led to a 24% increase in farming costs in 2022, making Ecuadorian shrimp less competitive. The industry has requested a tax refund program from the government to offset some costs. Additionally, the industry is facing a security fee of up to $80 million per year due to increased robberies and assaults. The industry employs nearly 290,000 people and is Ecuador's first non-oil export.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

According to Undercurrent News, Ecuador's National Aquaculture Office (CNA) said the future performance of the Ecuadorian shrimp industry through 2023 is of great concern. The policy of supporting energy prices is no longer in effect, while rising feed prices, looting and other problems related to the shrimp supply chain could be major problems this year. "The above has caused the cost of shrimp farming in 2022 to increase by 24% compared to 2021, making Ecuadorian shrimp products less competitive," CNA said. According to Mr. Antonio Camposano, Director of CNA, shrimp production and export figures in 2022 do not fully reflect the reality of difficulties that this industry is facing. 2022 is the most difficult year that the shrimp industry has to face with increasingly fierce competition in the market, an appreciation of the US dollar, high farming costs and an uncertain security situation. Therefore, he believes that export figures do not fully reflect reality. ...

Source: Vinanet