VIETNAMESE SHRIMP EXPORTS TO CANADA SURGE
Vietnamese shrimp exports to Canada surge. Canada ranked the 6th in Vietnam shrimp imports, accounting for 5.7% of total Vietnam’s shrimp exports to markets, according to the Vietnam Association of Seafood Exporters and Producers (VASEP). Vietnam’s shrimp exports to Canada in the first four months of this year still recorded double-digit growth despite the context of the Covid-19 epidemic.
In the first four months of 2020, Vietnam’s shrimp exports to Canada reached US$ 49.4 million, up 31.2% over the same period in 2019. Particularly in April, shrimp exports to this market spiked by nearly 51% to over US$13 million.
As of the first half of May 2020, shrimp export to Canadian market was US$54.7 million, up by nearly 32% year on year. Since the beginning of the year, shrimp exports to Canada only dived in January, exports in the remaining months were positive double-digit growth.
Vietnam’s shrimp exports to Canada grew continuously from 2016 to 2018, slightly decreased in 2019, and continued to recover positive growth in the first months of this year. Canada is considered as a potential market of Vietnamese shrimp.
In the structure of Vietnamese shrimp products exports to Canada, the percentage of whiteleg shrimp is increasing. Canadian consumers are favour of shrimp products such as headed and peeled whiteleg shrimp; steamed whiteleg shrimp (headed, peeled and tail on); frozen breaded whiteleg shrimp; frozen boiled whiteleg shrimp (headed, peeled and tail on); Nobashi whiteleg shrimp; frozen steamed PTO black tiger shrimp, frozen/live PTO black tiger shrimp (headed).
Canada consumes a lot of warm water shrimp of Southeast Asian countries in the context of declining in the supply of coldwater shrimp. According to a recent survey, shrimp accounts for 50% of all seafood products imported into Canada, and the trend of buying shrimp for home processing of Canadian households is increasing. In the first months of 2020, Canada was also one of the countries affected by the Covid-19 epidemic with more than 97,000 cases and nearly 8,000 deaths toll. Buying home-cooked shrimp is also common in Canada.
According to data from the International Trade Centre, in the first three months of 2020, Canadian shrimp imports declined slightly compared to the same period in 2019. India, Vietnam, Thailand, China, and Ecuador, respectively, are the largest shrimp suppliers in Canada. Regarding the average export price, the average price of Vietnamese shrimp was the highest among suppliers in the Canadian market. Regarding the proportion of shrimp exports to Canada, in recent years, the percentage of Indian and Vietnamese shrimp has increased while the proportion of Thai and Chinese shrimp has been declining. In the first 3 months of 2020, Canada also sharply reduced shrimp imports from Thailand and China.
The Government of Canada needs of diversifying markets, reducing dependence on imports from the US, and Vietnam is one of the countries where Canadian businesses are interested in promoting import and export activities. Canada is an affordable market for high-value products and is an crucial bridge for Vietnamese enterprises to expand their markets to other American countries.