Saving Seafood

Rabobank: Global seafood trade now worth USD 153 billion

May 7, 2019 — Seafood is one of the world’s most important food commodities and the trade continues to grow in line with rising demand and supply, but the dynamics of that trade are likely to change in the coming years, according to a new seafood trade map and report compiled by Rabobank International.

With an estimated traded value of USD 153 billion (EUR 136.5 billion) in 2017, increasing by a compound annual growth rate (CAGR) of 4 percent in the five-year period 2012-2017, the global seafood trade has been led by value growth rather than increased volumes. As Rabobank’s “World Seafood Map 2019” finds, the largest trade flow in value terms is still from Norway to the E.U., mainly consisting of salmon and some whitefish. This is followed by trade flows of salmon and crustaceans from Canada, and flows of whitefish and crustaceans from China to the U.S. market.

Rabobank Analyst Behyhan de Jong, who compiled the map, told SeafoodSource that in 2013, the average price of salmon in Norway was NOK 40 (USD 4.60, EUR 4.11) per kilogram, but this had increased by 50 percent to a level of NOK 60 (USD 6.91, EUR 6.16) in 2018. Meanwhile, the supply growth of shrimp has led to decreased prices, however, increased exports, “particularly from India and Ecuador,” have driven an increased crustacean trade globally, added de Jong.

Underpinned by the importance of localized production and the rising global demand for products, Rabobank expects seafood to maintain its standing as one of the most traded food commodities. Processing and re-exports are also important contributors to the traded volumes.

Read the full story at Seafood Source

US shrimp imports down for second straight month

April 18, 2019 — Shrimp imports into the United States fell again in February, with a drop of nearly 10 percent over the same month a year prior.

The U.S. brought in 42,871 metric tons (MT) of shrimp, 9.9 percent less than the 47,568 MT imported in February 2018. Indonesia, Vietnam, China and Thailand all saw significant decreases in the amount of shrimp they sent to the U.S. in February.

The major outlier to the trend continued to be India, which saw its total rise from 13,361 MT in February 2018 to 16,053 MT in February 2019, an increase of more than 20 percent. India also saw an increase in January 2019, and it was by far the largest importer of shrimp into the U.S. in 2018, becoming the first country to import 500 million pounds of shrimp in a calendar year.

The shrimp import figures were released on Wednesday, 17 April, by NOAA’s Office of Science and Technology.

Read the full story at Seafood Source

Tuna investigation slams use of FADs in Indian Ocean

February 15, 2019 — An investigation by French state television broadcaster France 2 into the use of fish aggregating devices (FADs) to catch juvenile yellowfin tuna in the Indian Ocean, aimed to highlight the dark side of the industry to consumers.

Use of FADs has been widespread since the 1980s, but their use now sits at the center of global discussions on the long-term sustainability of tuna stocks and the ecological impact of tuna fisheries. An addition to being associated with the catch of juvenile tuna, FADs are linked to bycatch of vulnerable non-target species such as barracudas, sharks, and turtles, the modification of tuna habitat, damage to coastal habitats from lost and broken-up structures that end up on beaches, and interference with other maritime activities, France 2 reported.

FADs can be natural or artificial floating objects or rafts, which are often made from local materials such as wood, bamboo, pieces of net, twisted rope and floats. They can either be anchored in place or left untethered to drift on the ocean surface. GPS tags are used to facilitate location, and fishers use them as a highly-effective method of improving catch rates and reducing operating costs, as tuna are attracted to the debris.

According to the FAO, in spite of intensive research, the reason why fish are attracted to FADs remains a mystery, but it is possible that they are attracted to floating objects that provide a refuge from predators.

In the two-hour long documentary, entitled “Peche industrielle: gros poissons en eaux troubles,” (Industrial fishing: big fish in troubled waters), which was broadcast on Tuesday, 6 February, presenter Sophie le Gall told viewers that the long-term future of the fishery was under threat because many of the fish being caught are immature and have therefore not had the chance to reproduce.

Read the full story at Seafood Source

India is top exporter of shrimp to US for fourth straight year

February 1, 2019 — India is once again the top country of origin for shrimp entering the United States.

India outpaced Indonesia, Thailand, and Ecuador to take the title for most shrimp exports to the U.S. for the fourth straight year.

Thirty-two percent of all shrimp imported into the U.S. came from India, and India continues to build market share, as it realized a compounded annual growth rate (CAGR) of 25.2 percent between 2014 and 2017, outpacing total U.S. shrimp demand CAGR growth of 7.1 percent, according to India’s Business Standard.

Shrimp exports to the U.S. were up 16 percent in 2018 over 2017 through November, despite lower prices due to a high supply volume, according to ShrimpTails magazine. The anomaly may be due to the expansion of the U.S. Seafood Import Monitoring Program to cover shrimp in 2019.

“As all markets that export shrimp to the U.S. will have to adhere to the requirements set out by SIMP, it seems inevitable that importers and their suppliers are trying to move as much product into the country as they can before it takes effect,” analysts Willem van der Pijl and Ken Salzinger wrote. “Especially for a country like India, which deals with tens of thousands of small-scale farmers, exporters are struggling to trace shrimp all the way back to the original farm, which is part of the requirements under SIMP.”

Read the full story at Seafood Source

As pressure from WTO mounts, China faces decision on fishing subsidies

January 25, 2019 — Negotiations amongst World Trade Organization member nations over the elimination of fisheries subsidies have intensified, according to a WTO announcement made at the tail end of 2018. WTO member states face a mandate of achieving an agreement by the end of 2019, in time to announce the agreement at the 2020 Ministerial Conference in Kazakhstan.

One of the linchpins of any deal will be China, the world’s biggest fishing country by volume. Thus far, China has shown a willingness to negotiate, even making concessions to limit the country’s international fishing fleet to its 2016 level and to reduce fuel subsidies for its trawlers by 40 percent on 2015 levels.

But China’s cut to trawler subsidies only applies only to those vessels engaged in fishing within China’s own waters – not abroad. And broadly, China’s general alignment with the agreement stands in stark contrast to its continued efforts to build giant processing and distribution hubs for its distant-water catches.

Chinese Vice Minister for Agriculture Qu Dong Yu, who was in Argentina for the last WTO Ministerial Conference in 2017, appears to be straddling both sides of the issue. While he negotiated the concessions on fishery subsidies (though a larger agreement was not reached due to objections from India and China over the scale and timing of subsidy cuts), he also appears to support China’s distant-water fishing efforts. While he was in Argentina, he showed support for the industry by touring vessels owned by Shanghai Fisheries Group, Dalian Hua Feng and the well-known fishing and seafood distribution conglomerate Zhejiang Da Yang Shi Jia (Ocean Family). The vessels included red shrimp catch-processors and squid liners.

Read the full story at Seafood Source

Global shrimp supply will remain high for foreseeable future

January 18, 2019 — The glut in the global supply of shrimp that persisted throughout 2018 will remain in 2019, as cold storage facilities in the United States continue to have supplies lasting months in storage.

A panel of experts at the Global Seafood Market Conference in Coronado, California on 17 January said cold storage facilities in the U.S. had, at times, 30 percent more shrimp in storage in 2018 than they did in 2017.

In addition, the panel predicted that the reserves will not be drawn down significantly in 2019. The primary reason for that is production of shrimp in India, which panelists said will remain close to its record high of 740,000 metric tons (MT), with production in other countries starting to increase as well.

“It all comes back to, ‘What are we going to do with all this shrimp?’” said Jeff Goldberg, president of Fortune Imports.

Estimates indicate that there’s 290 million pounds of shrimp currently in cold storage facilities in the U.S., representing a supply that, with no further production or imports, could last more than three months.

That high amount of supply in storage is coupled with increasing supply coming from countries like Ecuador. Between 2013 and 2018, production of shrimp in Ecuador more than doubled, going from 219,412 MT to 471,026 MT.

Ecuador and India aren’t the only countries with increasing supply. Indonesia, Vietnam, and Mexico also saw growth. The most dramatic growth occurred in Guatemala, which has consistently increased between 30 to 40 percent year-over-year.

Read the full story at Seafood Source

SFP: Farmed shrimp has significant sustainability concerns

December 14, 2018 — A new report released by the Sustainable Fisheries Partnership on 12 December indicates that the world’s farmed shrimp production has lingering sustainability concerns with little improvement likely on the horizon.

The new report, which is a part of SFP’s “Target 75” initiative, classifies just 8.8 percent of the global production of farmed shrimp as “improving,” and none is classified as sustainable under the Target 75 standards. The major shrimp production regions that were assessed – China, Ecuador, India, Indonesia, Thailand, Vietnam – all have high chances of supply chain disruption and have significant sustainability concerns, according to SFP.

“The report highlights the need to work collaboratively across the supply chain to launch aquaculture improvement projects at the zonal scale and improve aquaculture governance,” Casey Marion of Beaver Street Fisheries said.

The biggest target for sustainability improvements, according to the report, are export-heavy markets that engage with countries more actively concerned about sustainability.

“This includes Ecuador, India, Indonesia, Thailand, and Vietnam. Together, these production regions account for 2.1 million metric tons, representing almost 42 percent of global production,” the report states.

Read the full story at Seafood Source

 

Is trade war pushing seafood processing out of China?

August 3, 2018 —The current Sino-U.S. trade war, which has seen tariffs imposed on most seafood products from China (but not on re-exported processed product), is causing many seafood processing companies in China to reassess whether or not to move their operations out of China. This is the first of a two-part series looking into the issue.

Many seafood processing companies are now assessing whether to move to another Asian location where wages and costs are lower. Even before the trade war heated up between the United States and China, it was a well-known fact that the cost of doing business in China has been rising steadily for years. Today, the average Chinese worker’s wages are twice those in Vietnam.

There are plenty of takers for anyone moving processing activity out of China, starting with what Asia-focused advisors have begun to refer to as the new “Big 5” of Asian manufacturing competiveness. As listed in the Deloitte 2016 Global Manufacturing Competitiveness Index, the Big 5 are: Indonesia, Malaysia, Thailand, India, and Vietnam.

All of those countries have committed to reforms that have improved their rankings, such as creating a national credit scoring system that allows for quick due-diligence checks on would-be local partners, and regulatory reforms that make it easier to wind up companies in those countries. Also, there’s been movement on better utilities connections in several ASEAN countries, including Indonesia. Vietnam has created a one-stop shop for business licenses and tax remittances while Malaysia has put much of the process online. And India and Thailand have worked hard to streamline their export and import licensing systems.

Read the full story at Seafood Source

Nations Will Start Talks to Protect Fish of the High Seas

August 2, 2017 — UNITED NATIONS — More than half of the world’s oceans belong to no one, which often makes their riches ripe for plunder.

Now, countries around the world have taken the first step to protect the precious resources of the high seas. In late July, after two years of talks, diplomats at the United Nations recommended starting treaty negotiations to create marine protected areas in waters beyond national jurisdiction — and in turn, begin the high-stakes diplomatic jostling over how much to protect and how to enforce rules.

“The high seas are the biggest reserve of biodiversity on the planet,” Peter Thomson, the ambassador of Fiji and current president of the United Nations General Assembly, said in an interview after the negotiations. “We can’t continue in an ungoverned way if we are concerned about protecting biodiversity and protecting marine life.”

Without a new international system to regulate all human activity on the high seas, those international waters remain “a pirate zone,” Mr. Thomson said.

Lofty ambitions, though, are likely to collide with hard-knuckled diplomatic bargaining. Some countries resist the creation of a new governing body to regulate the high seas, arguing that existing regional organizations and rules are sufficient. The commercial interests are powerful. Russian and Norwegian vessels go to the high seas for krill fishing; Japanese and Chinese vessels go there for tuna. India and China are exploring the seabed in international waters for valuable minerals. Many countries are loath to adopt new rules that would constrain them.

Read the full story at the New York Times

Indian Shrimp Imports to US Up 20 Million Pounds from 2016; Accounts for 25% of Q1 Volume

May 5, 2017, Seafoodnews.com — The volume of Indian shrimp imported into the US market in the first quarter of the year exceeded 2016 levels by about 20 million pounds. Indian shrimp now represents more than a quarter of all imported volumes in the US market this year. According to shrimp import date from the US Department of Commerce, March imports increased 2.3 percent increase for the month. Overall imports are now down only 0.8 percent. Meanwhile, Indonesian imports were up for the month and for the year. Thailand and Vietnam imports are down sharply for the month while other supplying countries are mixed. Argentine imports remain up. Ecuador’s March imports were for the month but remain generally lower because of higher shipments to Asian and European markets. Ecuador is optimistic that it will sell more than 50 percent of its white shrimp production to Asia.

A former Louisiana official, an Alaskan fishery manager, and a Sea Grant program director are reportedly in the running to head the National Marine Fisheries Service. Robert Barham, Chris Oliver, and LaDon Swann are the three candidates that US Commerce Secretary Wilbur Ross is expected to select from. It’s unclear when Ross — or the White House — will make that decision. Chris Olver has received overwhelming support from fishing associations in Alaska and across the country. Most recently a group of seven fishing groups from the Gulf of Mexico sent a letter to Ross in support of Oliver’s nomination.

In other news, the number of seafood items refused entry to the US market by the FDA fell in April, which dragged overall rejections for the year. Similar to last month, shrimp and filth remain the top species and reasons for refusals. However, shrimp rejections are about the same through the first four months of 2017 compared to last year. Filth is still the top violation but accounts for 40 percent of this year’s refusals versus the 60 percent share of rejections filth was responsible for in 2016.

This story originally appeared on Seafoodnews.com, a subscription site. It is reprinted with permission.