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WET MARKET By: Mida
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Issue 5 | Feb’ -2022 Photo source: Al-Ad, Arina Ertman,Mida
The South Americans have long treasured the reliminary data of last years shrimp exChinese market as they have been able to sell HOSO ports are out. Shrimp insights reported that shrimp there with minimum processing. Combined Ecuador finally surpassed the 1,000,000MT with the superior farming techniques, most of the volume annual exports of shrimp. This is an intime using extensive farming practices & utilising crease of 21% over 2021. The figure was set to be a singular land mass where shrimp is easily transeven higher but the turmoil of the last quarter of ported from farm to factory, the South Americans last year saw a drop in demand. Keep in mind that (and especially the Ecuadorians) have cornered the the bulk of Ecuadorian production is geared toChinese markets in the way no other player could. wards head on production but increasingly there is a focus on peeled INDONESIA’S L. VANNAMEI SHRIMP EXPORT VOLUME FROM 2018-2022 The Chinese have the volume requireitems for the US to ments & the Ecuaavoid the dependorians have the dence on Asia. The quality. As much as traditional export80% of Ecuadorian ers to the US marshrimp went to Chiket, Indonesian & na in the past. India have to be Covid showed aware of the comthat being ultra repetition. liant on China was Ecuador is only a mistake. As such, 2 weeks sailing in mid-late 2020 the time to either the Ecuadorian shrimp industry switched into high gear east cost or west cost of the USA compared to 20 to adjust their production for the US market. Today, days from India and anywhere between 30 & 45 they are able to supply shrimp on par with the Indidays of Indonesia. This gives them a strong edge an quality, reaching the markets faster & sometimes as American importers no longer have to place an with even better prices. order & risk having the market move in the 60 days If not addressed, this could spell doom for Indoit would take them to finally see their shrimp. nesia, traditionally the world’s third largest shrimp producer. Preliminary statistics show that even when the market tanked in 2022, Indonesian shrimp still marginally increased which shows that Indonesian farmers are still making profits even at the reduced buying prices of the US. With the emergence of Ecuador, Indonesia will have to take a good hard look at their shrimp industry. As it is, quality wise the Indians have them on the backfoot. Add the Ecuadorian easy access to the market & their phenomenal volumes there is no easy way for the Indonesians to regain the initiative.
Christopher Tan CEO - MIDA
lTHE CRUST