Before the fluctuations of the Covid-19, when the Vietnam pangasius industry can’t master the market, the industry has to control themselves to keep the “swimming path” for pangasius, overcome difficult stages.
According to the Vietnam Association of Seafood Exporters and Producers(VASEP), because of the impact of the COVID-19 epidemic, the pangasius is the group that has the deepest negative growth in fishery product of Vietnam.
However, the enterprise decides the goal, not let the pangasius processing and export industry be stuck in this period.
Reducing export due to pandemic
The Vietnam Association of Seafood Exporters and Producers said that the COVID-19 impact on the pangasius industry. From March 2020 to later, all of the import pangasius market Vietnam on the world are ” freeze”, it makes pangasius processing and export turnover decreased sharply.
According to statistic, in the first 2 months of this year, the COVID-19 has not impacted about the trade for Vietnam pangasius at the European market, but the export value to this market only reached 26 million USD, decreased 40% compared with the same period of last year. The average price of imported pangasius in the markets decreased.
From March 2020, when Italy, Germany, and England are potential markets for Vietnam pangasius become the pandemic center that makes trade activities to these markets stalled. Many orders are stopped and the customer notices not knowing when the transaction will resume.
Some of the European customers also interactivity is constantly making requests to reduce selling prices, while the average export price of pangasius to a country in Europe at the beginning of this year has decreased by 10-15% over the same period last year.
Besides big export markets, in the first quarter in 2020, exporting pangasius to Brazil reduced 16%, Mexico reduced 58.7%, Colombia reduced 6%, Australia reduced 22.7%.
But in February 2020, exporting pangasius to Brazil, Colombia and Australia increased over the same period last year.
Many impacts make the pangasius farmer in the country is stagnant. Mr. Le Thanh Van, O Mon district, Can Tho city said that the difficult export situation by the impact of the epidemic, the enterprise limit buy because they have not ordered, it makes the fish price reduced, only 18.300vnd/kg. This situation forced him to sell only 70 tons.
In addition, he has one fish breed pond that drops to the rear for last year but not sells so he rears fish to adults to get meat.
Keeping “swimming path” for pangasius
According to Mr. Vo Hung Dung, Vice President of the Vietnam Pangasius Association, the pandemic surrounded all the world, some big market such as China, America, the European can forecast consumer trend in the next time, because of the big consume from these markets. However, it is difficult for small markets to predict change because of disease.
The export picture of Vietnam in 2010 depends on the China market and the American market.
Therefore, before the current big upheaval, when the Vietnam pangasius industry is not master the market in the whole industry, they have to control themselves to keep the “swimming path” for pangasius, overcome the difficult stages.
To do this, the pangasius farmer in the Mekong River Delta region identify purchasing linkages with businesses, ensuring the fish adult source consumed and fish farming at the right size required by the business.
“If spontaneous production that not have consumed source, the farmer will take damage first, the enterprises that order the right size will only buy by the signed contracts with fish farmers “, Mr. Duong Nghia Quoc – Chairman of Vietnam Pangasius Association emphasized.
According to the record of VASEP, most of the export markets all reduce the export turnover of Vietnam fishery to the EU market increase by 13% compared with the same period, reach 127 million USD.
To resolve the difficulty for the pangasius industry, VASEP said that the enterprise usually updates the information from China’s partner, to enlist the clearance of pre-ordered orders as soon as they are allowed, minimizing storage and warehouse costs.
Depending on actual developments, the enterprises actively adjustment of the planning process, at the same time, information for farming areas to adjust seasons and yield of raw materials, accordingly, avoiding the raw material surplus, damage to farmers and businesses.
For a long time, needing a good prepare way to catch the export chance in the higher value market but requires stricter standards.
Among them, the first decide element is breed quality. This is the element that can directly impact productivity, farming cost as well as the quality of raw pangasius.
From that, the enterprises can calculate the costs, reduce loss to the lowest level, guaranteed profitability that sustains business during this difficult period.