What Are Some Current Issues in the Vietnamese Shrimp Market?

According to data from the Vietnam Association of Seafood Exporters (VASEP), Vietnamese exports of all shrimp products totaled $416 million in June 2022, representing a decline of 1% YoY. This was the first annual decline in 6 months. Most of the decline can be attributed to a sharp decrease in exports to the US, which totaled $96 million, down 36% YoY.

In May, the same association reported that shrimp exports to the US were expected to slow down as the US had already a high inventory of this commodity. The association also mentioned that inflation has started hitting consumer demand for shrimp.

All in all, Vietnamese shrimp exports are expected to continue slowing down in the months to come, amid ongoing challenges with raw material supply and the slowdown in US demand. That said, there’s an expectation for a recovery in exports to the US from September toward the final months of the year. Total exports for 2022 are still expected to reflect an annual increase of 10%, fueled by the exports recorded in H1 and stable to higher demand out of Japan and China.