Shrimp producers expect brighter year in 2016 after disease eliminated
Thai shrimp farmers and traders foresee brighter prospects for production and export next year as they recover from a shrimp disease that has damaged the industry since late 2012, while foreseeing lower shrimp production globally.
However, the industry is still worried about non-tariff barriers, especially those set up by the European Union over illegal, unreported and unregulated (IUU) fishing, while the United States has left Thailand languishing in Tier 3, the lowest level of its annual “Trafficking in Persons” report.
According to the Thai Shrimp Association, shrimp production in this country is expected to increase by 10 per cent next year, while other countries, mainly India, the world’s largest shrimp producer, will have lower output after also facing shrimp disease.
“Next year is expected to be a brighter year for the Thai shrimp industry as production increases after Thailand totally eliminates the shrimp disease, while buyers will purchase more Thai shrimp as they are highly confident about safety after India – a major rival – is faced with shrimp disease,” Somsak Paneetatyasai, president of the association, said yesterday.
He added that global shrimp prices should also increase next year amid a lower supply.
However, he is concerned about non-tariff barriers, as the EU and the US have given Thailand poor marks on the management of its fishery industry. Although most companies |in the Thai shrimp industry are large |operations that are well managed and have good labour standards, the industry could still be affected. Somsak called for the government to help solve many non-tariff barriers, including human-trafficking reports, the IUU issue and anti-dumping duties, while the lack of a free-trade agreement with the EU and a delay in joining the Trans-Pacific Partnership could also affect the growth of the shrimp industry in the future.
The association forecasts total domestic production expanding to more than 300,000 tonnes next year, up by about 10 per cent from this year’s output of 260,000 tonnes, and an increase of 13 per cent from 2013’s 230,000 tonnes thanks to the reduction of early mortality syndrome in shrimp hatcheries.
Global shrimp production this year should reach about 2.04 million tonnes, 8 per cent lower from last year, as many countries including India, China and Vietnam have seen shrimp disease lower output.
In the first 10 months of this year, Thai shrimp exports decreased by 1.21 per cent on lower global trading to 127,871 tonnes, while export value decreased 14.43 per cent to Bt44.25 billion.
