Vietnam's pangasius exports in the first quarter of this year rose 89.6% year-on-year to $894 million, accounting for 27% of the country's seafood export value.
Exports of this item to the U.S hit $160 million over the period, up 123% from Q1/2021, according to the Vietnam Association of Seafood Exporters and Producers (VASEP).
The figure for European markets was $46.7 million, up 86.2%, with Spain reporting a 67% growth, Netherlands 86%, Germany 97%, and Belgium 120%.
China accounted for $183.4 million, up 163% year-on-year. Of this, $97.5 million was from March, up 119%.
VASEP predicted that Vietnam’s pangasius exports to major markets in the second quarter would continue to grow due to the increased demand post-Covid-19, Vietnam’s competitive prices, and supply shortages from Russia.
Low pangasius inventories in the U.S. following two years of the pandemic, as well as decreased catfish farming areas for three consecutive years, have created a growth engine for Vietnam's pangasius industry since Q4/2021.
Besides, Malaysia has been a destination for nearly 40 Vietnamese pangasius enterprises, with total export value reaching $7.45 million in Q1, up 138% year-on-year.
Given the peaked price of raw pangasius in Mekong Delta at the end of Q1, the average export price of Vietnamese catfish has climbed rapidly to $3.2-3.4 per kilogram, with the highest number in the U.S. market of up to $4.5 per kilogram, surpassing the peak of 2019.
Despite increasing orders, pangasius businesses have dealt with raw catfish scarcity. This trend was expected to continue until the end of Q2, according to VASEP.
Shipments to the U.S. during this time were mostly large frozen pangasius fillets, while small and medium-sized ones were in short supply.
The pangasius farming area in the main producing localities, including Dong Thap and Vinh Long provinces, reached only 94.6% and 77.1% of total areas in Q1/2021, according to the Vietnam Directorate of Fisheries.
However, given the market’s strong recovery, many pangasius businesses have set breakthrough targets in the coming time.
A representative of International Development and Investment Corporation (IDI) said that the company expected net revenue of $361.5 million and profit after tax of $39.2 million in 2022, up 45% and 6.3 times higher than the 2021 results.
IDI has signed enough export orders until the end of Q2, and prepared a catfish reserve worth $61 million to embrace the market rebound, particularly in the American markets.
Other large enterprises like Sao Ta Foods Joint Stock Company and Vinh Hoan Corporation also forecasted double-digit growth profits in 2022.
Pangasius firms have decided to focus their resources in 2022 on farming and processing for export, diversifying pangasius products, and boosting expansion into other markets.