Warning of shortage materials for Vietnam’s pangasius industry

Bởi Meksea Team - October 18, 2021

MEKSEA.COM – Although it has recovered since mid-2021, up to now, Vietnam’s pangasius industry is facing many difficulties due to lack of raw materials.

 

By September 15th, 2021, Vietnam has 3,516 hectares of pangasius farming, down 25.7% over the same period, output reached 932,000 tons, equivalent to 81.1% over the same period last year. In which, pangasius production decreased continuously in 3 months, July, August and September respectively, by 20% – 44.9% and in the first half of September, it decreased by 77% over the same period.

Currently, however,  the demand for pangasius consumption in the world is very large, Vietnamese enterprises are facing the risk of material shortages due to the prolonged Covid-19 epidemic in the Southern provinces. Pangasius exports in August 2021 decreased by 28.5% over the same period, thanks to good growth in the first 7 months of the year, accumulated 8 months of pangasius export turnover still increased by 8.8%, and pangasius exports may reduce over 30% in September.

 

warning of shortage materials for vietnam’s pangasius industryEnterprises having been facing the risk of material shortages due to the prolonged Covid-19 epidemic. (photo: Internet)

 

According to the leader of Vietnam’s Ministry of Agriculture and Rural Development, currently, only 96/130 pangasius production factories are operating, the amount of seed production has decreased sharply from June to now, at times down to 82.7% compared to the same period last year.

In addition, according to a survey by the Vietnam Association of Seafood Exporters and Producers (VASEP), in the 4th outbreak of the Covid-19 epidemic, only 14/42 their member enterprises in the Mekong Delta operating under the “3 things at the factory” from mid-July until now, with a capacity of 10-30%.

It can be seen that the epidemic directly affects production activities at factories, not only lack of production materials but also a serious shortage of labor force. Moreover, at present, the distribution of vaccines in the Mekong Delta provinces is uneven, making workers hesitant to return to work at the factory.

The Mekong Delta has a large freshwater area, which is convenient for pangasius farming, however, the geographical boundaries between provinces are difficult to determine, the management method between provinces is different, making it difficult to move, even within the province, and localities in the same province also have barriers, along with many complicated procedures during the epidemic, that make workers reluctant to do it.

 

Warning of shortage materials for Vietnam's pangasius industryPangasius fillet size 0.8-1kg will be in short supply in the near future. (photo: Meksea team)

 

Moreover, the quality of the fish is also now decreasing due to being over-size because it cannot be harvested on time. Meanwhile, the size of 0.8-1kg is the size for fillet exports to the US and EU markets, but now the main stocking season has passed and even if it is done quickly, it can’t be done because pangasius is a slow-growing species.

Therefore, it is necessary to issue a policy to help seafood enterprises, especially pangasius processing factories, quickly overcome difficulties, restore production, and promptly seize opportunities to develop. In particular, priority should be given to vaccines for workers, which should be distributed to the Mekong Delta provinces so that people can return to work safely and quickly restore production activities. Otherwise, a shortage of pangasius for the end of the year is inevitable and is likely to last until the second quarter of 2022.

 

Up to now, 75% of pangasius production in the world is supplied from Vietnam. In particular, Meksea’s pangasius products are highly appreciated by international customers, in major markets such as the US, EU, Middle East, China and ASEAN with diverse sources.

Meksea always focuses on product quality in every stage from preliminary processing to delivery of finished products to our customers. Meksea always make effort to bring customers the most optimal products, suitable for each business market.

If you are interested, please visit Meksea website to explore our pangasius products.

 

By Hayati (Meksea Team)

(hayati@mekseaconnection.com)

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