The year 2009 was a difficult period for the seafood industry of Vietnam. The export turnover is estimated to reach US$4.2 billion, down about 0.7 % from 2008, or a drop of US$300 million. However, Hung Vuong Corporation has made great efforts to maintain traditional markets, seek and develop new markets, stabilise the quality, diversify designs and invest in material sources systematically.
While exports of pangasius, or tra catfish, to European and US markets slumped, the shipments to Russia rose from 5 % to 7 % over 2008, especially in the last months of 2009. This is a repay to efforts of Vietnamese fisheries sector in the market finding and developing strategy.
Only from May to November 2009, Vietnam exported nearly 40,000 tonnes of aquatic products worth over US$80 million to the Russian market, of which more than 39,000 tonnes of tra catfish valued at US$64 million. Exporting prices for Russian are higher than other European countries by 15-20 % and no shipments broke quality regulations. Vietnamese seafood exporters expect to ship 50,000-60,000 tonnes of tra catfish to this market in 2010. Besides, shrimp export is also hoped to accelerate.
“In fact, Russians do not know much about Vietnamese tra catfish but we will strive to make the tra catfish a popular food in Russia,” said Duong Ngoc Minh, who is in charge of exporting aquatic products to Russia and is the General Director of Hung Vuong Corporation (HV Corporation). Minh said his export to Russia management board plans to introduce the images of tra fish in Russian and other CIS countries from the process of farming to processing through the mass media in Russia.
With the capacity of the country’s largest exporter of catfish like Hung Vuong, exporting large volumes to Russia is within reach. HV Corporation is currently managing 160 hectares of water surface for aquaculture, capable of meeting 60 % of material demand of the company.
Hung Vuong now has seven seafood processing plants with a capacity of 100,000 tonnes per year and a freezing facility with a capacity of 42,000 tonnes in Tan Tao Industrial Park. In 2010, the company plans to increase investment and merge subsidiaries in order to upgrade production capacity. Particularly, it raised the charter capital of Tay Nam Cultivation and Feed Joint Stock Company to VND200 billion in which Hung Vuong Corp will hold 55 % of the stake. It will also merge Vinh Loi Seafood Processing Joint Stock Company and Tac Van Seafood Exporting Joint Stock Company in 2010 to bring a combined revenue to VND2,000 billion. The corporation will put Hiep Phuoc-Nha Be cold storage facility into operation with expected annual revenues of VND180 billion on 50 % of the operating capacity.
With its advantages in complete production model and large operating scale, Hung Vuong made a net profit of VND350 billion in 2009 and expected at VND8,000 billion of revenues in 2011.
Mr Minh said, in addition to Vietnam, Thailand also made no less effort to increase export of catfish to the Russian market. Russians are very keen on aquatic products, especially tra and basa catfish. And, after penetrating into the Russia market, Vietnam will easily approach surrounding CIS markets like Ukraine and Georgia.
Phan Thanh
Vietnamese
