Hanoi (VNA) - Vietnam’s shrimp exports are expected to grow this year to avalue of more than 4 billion USD thanks to free trade agreements, according to theVietnam Association of Seafood Exporters and Producers (VASEP).

VASEP said the shrimp sector would make a breakthrough in exporting to 28European Union countries – enjoying low import tariffs once the EU-Vietnam FreeTrade Agreement takes effect – for an estimated export value of 1 billion USD.

According to VASEP, 2018 ended with shrimp exports failing to meet the businesstargets. They reached 3.55 billion USD, down 7.8 percent from the previousyear.

The shrimp industry targeted to gain an export value of 4.8 billion USD in 2018due to the many advantages of exports promotion. These advantages from existingmechanism and policies include a programme on sustainable development of thefisheries economy during 2016-20.

However, shrimp demand of large markets such as the US and Canada decreased dueto weather and high inventory volume in Japan, the Republic of Korea and theEU. Domestic prices in the second quarter fell by between 20 and 30 percent,affecting the local market and export value.

At the end of last year, world shrimp prices fell. The supply fromshrimp-producing countries such as India, Thailand and Indonesia increased,while inventory in the US was high, meaning Vietnam could not boost exports tothis market.

Inventories in India, Ecuador and Indonesia also increased after China tightenedthe export of shrimp via informal cross-border gates.

In 2018, Vietnam’s shrimp exports to its four main markets declined from theprevious year. The value of exports to China dropped by 28 percent; Japan fellby 9.2 percent. Exports to the EU and the US were down by 2.8 percent and 3.3 percent,respectively. The exports to the RoK and Canada saw slight increases of 1 percentand 3.5 percent, respectively.

The EU was still the largest market for exported Vietnamese shrimp, accountingfor 23.6 percent of exports with a value of 838.3 million USD.

Whiteleg shrimp continued to occupy a key position in the market, accountingfor 68.7 percent of shrimp exports, while tiger shrimp accounted for 23 percentand other types of shrimp 8.3 percent. - VNA