High tilapia prices in China have reduced U.S. demand

Published Mar 26, 2024

Tridge summary

In Hainan and Guangdong, China, tilapia raw material prices have surged by 30% from the previous year to 11.2-11.6 yuan per kilogram due to a significant decrease in fingerling stock in early 2023, despite a 50% recovery in early 2024. This price increase has made Chinese tilapia more expensive than Vietnamese pangasius and pollock, challenging its competitiveness in the export market. The scarcity of raw materials and high prices are causing concerns among Chinese processors about fulfilling large orders, especially from American buyers at the SENA exhibition. Industry experts recommend maintaining reasonable production levels and avoiding price wars to navigate the export market challenges effectively.

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

Original content

As of the 12th week, tilapia raw material prices in Hainan, China rose to 11.2-11.6 yuan (US$1.55-1.60) per kilogram, up 30% from the same period last year when prices were around 8.6 yuan/kg. Prices were similarly high in Guangdong at 11.4 yuan/kg, and even higher in some areas. “Raw materials are extremely scarce, and the situation this year is radically different from the situation in previous years,” Seafood Guide quotes the words of one southern Chinese processor located on the island of Hainan. “Even at 11.6 yuan per kg, it may still be difficult to buy fish.” Although the fingerling stock in the first quarter of 2024 increased by 50% compared to the same period last year, the stock in the first quarter of 2023 was significantly lower than in 2022. This means that inventories have so far only recovered to 2022 levels. Industry sources told Seafood Guide they expect the supply shortage to ease somewhat in May and June as more fingerlings reach market size. But the recovery ...

Source: Fishretail