Vietnam's whiteleg shrimp exports continued to increase in June 2024, with export volume reaching a two-year high.

Vietnam’s whiteleg shrimp export volume increased significantly in the first quarter of 2024. This continued to improve in the two months (May and June), with a total export volume of 30,452 tons, up 8% month-on-month and 19% year-on-year.

June was the second consecutive month of increased import volumes in most major markets, including the US (+14%), China and Hong Kong (+31%), the EU (+8%) and Japan (+2%). South Korea saw a 6% month-on-month decrease in imports.

For the US and EU markets, although affected by high sea freight rates, partners increased their receipts due to concerns that freight rates would continue to increase sharply during the peak season at the end of the year.

Meanwhile, shipments to Japan and South Korea slowed down partly due to the impact of the weakening yen and won (which fell to record lows).

Sea freight rates in May, which increased by 10-20% compared to the previous month, significantly affected the progress of signing new contracts and negotiating export prices to the EU and US markets.

Market demand may also have been stimulated by the decline in raw shrimp prices in June. In June, whiteleg shrimp prices fell the most since the beginning of the year as factories reduced their purchase prices for main-sized shrimp. In the last week of June, shrimp prices at the farm gate recovered slightly, but still could not compensate for the sharp decline in the first half of the month.

Overall, farmgate prices for all shrimp, from 30/kg to 100/kg, fell by 10% to 14%.

However, the average export price of all whiteleg shrimp products sold to the market remained stable in June, up 0.03 USD compared to the previous month to 8.10 USD/kg.

Whiteleg shrimp imports to China, the US and the EU reached their highest levels of the year.

China remained Vietnam's largest whiteleg shrimp market, second only to the US in June, with sales increasing by more than 1,000 tonnes to 5,921 tonnes. That was the highest level in a year.

The average export price of all whiteleg shrimp products exported to China also increased by 3.1% to 6.50 USD/kg, returning to February levels after several declines in recent times.

Vietnam’s whiteleg shrimp exports to the US increased to 4,976 tonnes – the highest level since November 2023, and prices are also gradually increasing, up 2% compared to the previous month at USD 10.20/kg.

Exports to the EU market also reached a high of 4,709 tonnes, the highest import level since July 2022.

However, export prices continued to decrease by 1.4% to USD 7/kg. Export prices to the EU market have fallen below pre-COVID-19 levels (2019 and 2020).

Vietnam's whiteleg shrimp exports to Japan remained at a good level, increasing slightly to 3,630 tons. Export prices also recorded the first increase this year, up 3.4% to USD 8.80/kg.

Exports to South Korea in June decreased slightly compared to the previous month, reaching 2,894 tons. Export prices in June decreased by 4.1% to USD 7.10/kg.

Meanwhile, Vietnam's black tiger shrimp export volume in June decreased slightly by 4% compared to the previous month but increased by 9% compared to the same period last year to 3,956 tons.

Fierce price competition from other producing countries such as Ecuador and India, coupled with a slow recovery in domestic demand in China, has contributed to a significant reduction in exports to this major market. Meanwhile, exporters to the US and EU continue to face difficulties due to rising freight rates and container shortages.

The average export price of black tiger shrimp of all sizes to all markets in June increased by 0.4% compared to the previous month, at US$11.06/kg.

Source: VASEP