Rabobank predicts global shrimp farming's difficulties will continue in 2024

Published Jan 22, 2024

Tridge summary

Global farmed salmon and fishmeal production are expected to stabilize in 2024 due to manageable increases in supply and slightly lower prices, while farmed shrimp is facing heavy oversupply, extremely low prices, and weaker Chinese demand. This challenging situation for shrimp farmers continued into the new year, with low prices and weak demand making it difficult to predict when the market might stabilize. China's demand for shrimp rebounded in 2023, but the overall recovery was slower than expected, and an increase in domestic supply could dampen China's demand for imports.

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

Original content

Farmed salmon and fishmeal production is likely to stabilize worldwide in 2024 thanks to manageable increases in supply and slightly lower prices in both sectors, but it’s a very different story for farmed shrimp, with heavy oversupply, extremely low prices, and weaker than expected Chinese demand taking their toll going into the year, according to the latest industry report from Rabobank.Compiled by Rabobank Senior Global Seafood Specialist Gorjan Nikolik, “Global Aquaculture Update 1H 2024" states that in 2023, shrimp farmers faced one of the most challenging years in more than a decade. Weak shrimp demand in Western markets, combined with persistently strong supply from Ecuador, created price levels that dropped even lower than the lowest point of the Covid-19 pandemic, while costs remained elevated due to high feed prices.Those effects have continued into the new year, with the low prices and weak demand making it hard to predict when the market might stabilize. Indeed, the ...

Source: Seafoodsource