Chinese scramble for shrimp in Vietnam
Chinese scramble for shrimp in Vietnam
Chinese merchants have been collecting shrimps in many provinces and cities without licenses, disturbing the domestic market now and causing long term damages.
The Vietnam Association of Seafood Exporters and Producers (VASEP) has sent two urgent dispatches to competent agencies, reporting that Chinese merchants have come to Vietnam to collect shrimps in large quantities, about 100 tons per day from every province/city.
Some other sources have reported that some 300 tons of shrimp go across the border gates to China every day.
Phu Yen province in the central region of Vietnam proves to be the favorite destination for Chinese. Some 10 Chinese merchants have been buying shrimp from Vietnamese merchants, freezing the shrimp and carrying the products to Lang Son province in the north, from which they would be carried to China.
Chinese have been successfully collecting shrimp in large quantities because they pay higher by VND10,000 per kilo than the domestic seafood processing companies.
On September 17, Huynh Thi Nam, Director of Nam Rum private enterprise came to see Dang Van Thoi, the owner of a shrimp pond in Dong Hoa district, to collect shrimp.
Nam accepted to buy Thoi’s shrimps at VND150,000 per kilo (80 shrimp individuals per kilo).
“The price was just VND100,000-120,000 per kilo some months ago. However, since the day Chinese merchants came here, the prices have been pushed up,” Nam explained.
Nam previously collected shrimp to resell to the Thuan Phuoc seafood company in Da Nang City. However, she now mostly sells to Chinese merchants.
Also according to Nam, Chinese always order big quantities, about 10 tons of shrimp a day, while there are 10 Vietnamese merchants who specialize in collecting shrimp from the 2,000 hectares shrimp field on the lower course of Ban Thach River to resell to Chinese.
When asked why she does not keep the business relationship with the domestic seafood company, Nam said that if she sells shrimp to it, she would incur the loss of VND10 million for every ton sold. Meanwhile, Nam cannot pay lower to farmers, because Chinese set up higher prices.
Huynh Tan Luc, a farmer in Hoa Tam commune, has sold 2 tons of shrimp to a Vietnamese merchant which would be resold to Chinese, also said he does not care who buy his shrimp. He just tries to sell shrimp to those who pay the highest prices.
Le Van Hong, Director of Ba Hai Company Ltd in Phu Yen province, a shrimp processor and exporter, said with the large shrimp hatchery area of 2,500 hectares in the locality, he never worried about the material shortage before. However, he now fears that he cannot collect enough materials to fulfill the export contracts, because shrimps all have been carried to China.
“Chinese can pay high for shrimp because they don’t have licenses and they don’t have to pay tax,” Hong said.
Nguyen Thi Phi Anh, Deputy General Director of Thuan Phuoc Seafood and Trade Company, has also confirmed the company lacks materials for processing.
Anh said Chinese flock to Vietnam because Thailand, its biggest material market, now suffers from poor crops.
VASEP’s Secretary General Truong Dinh Hoe has expressed his concern that the Vietnamese shrimp industry will be influenced.
vietnamnet
