Global Shortage Puts Export of Shrimps Back On Track.

India’s shrimp exports are back on track largely due to a global shortage, pushing up growth of the seafood sector. With shrimp production in Asian countries such as Indonesia affected by disease, global prices for shrimp has surged during 2010 by 10-20%.

Recovery in the US consumption of shrimps and demand in countries like China is putting pressure on global shrimp supply. Indian shrimp exports are slowly recouping the losses suffered after the US imposed antidumping duty on Indian shrimps.

Shrimp exports during the last financial year increased by 13% in volume, 35% in rupee value and 41% in dollar value respectively. Unit value realisation of shrimps has increased by 24% during the period. According to the provisional figures, frozen shrimp continues to be the major export item accounting 46 % of the total dollar earnings.

Major farm shrimp producers like Vietnam, Bangladesh and Indonesia reported lower production in 2010. The winter delayed Chinese shrimp farming during 2010. Vannamei farms in central provinces of Vietnam and black tiger shrimp farms in southern provinces were hit by the extremely hot weather, which has affected growth rates and caused disease.

Indonesia’s vannamei farming sector is yet to recover fully from the disease crisis experienced in 2009. Shrimp farms in Honduras were seriously affected by a tropical storm and subsequent heavy rains. Global shrimp production has increased dramatically in the last two decades with the shift from capture fisheries into farm fisheries.

The emergence of China in the trade has dramatically altered the dynamics Vannamei continues to be the single species dominating shrimp production in China accounting for more than 70% of total farmed shrimp production.

Meanwhile, Indian aquaculture sector also took a turn for the better with higher production reported in most of the southern states. Aquaculture production increased by more than 30% during the 2009-10 largely due to productivity increase in the key states of Andhra Pradesh and Tamil Nadu, Marine Exports Product Development Authority (MPEDA) officials said. During 2009-10, total production touched 106,000 tonne.

Production of coastal aquaculture came down during 2008-09 with production touching 88,803 tonne at an estimated value of R1,915 crore during the year, MPEDA sources said.

Shrimp production from coastal aquaculture was 75,997 tonne from the culture area of 108,000 hectares. Compared with the previous year, the decrease is about 28.4% in production and 10.9% in area.

Farming of aquaculture vannamei shrimps also helped in giving a competitive edge to Indian exporters in the price factor. Export of Vannamei shrimp touched 10,000 tonne during the last financial year.

India produces mainly black tiger shrimp and processing facilities are running at only about 30% of their capacity. Asian export rivals, such as Thailand, Vietnam and Indonesia are well experienced in vannamei farming. Black tiger shrimps have higher production costs and lower yields than vannamei.

Source : financialexpress.com