Tilapia Export Overview:
In April, the United States’ import volume of frozen tilapia fillets from China hit a 15-month low, just surpassing 3,000 tons. The average price per kilogram also saw an increase.
Over the past two months, there has been a significant jump in shipping costs to the U.S., the primary export market, with an additional 8,000 charged per container. This has prompted some international buyers to reroute some of their orders to South American suppliers.
The scarcity of raw tilapia materials from the past half year has led to delays in plants’ orders.
The combination of rising ocean freight cost, subdued overseas demand, and raw material shortages has taken a toll on China’s tilapia exportation.
Decline in Tilapia Raw Material Prices:
The postponement of tilapia baby fish putting into ponds by farmers has pushed prices in Guangdong and Hainan to sky high in June. The good news is that the initial batches of fish now are available to harvest. Prices have started to go down a little. In Guangdong, tilapia size over 500 grams have seen their prices drop to 10.6 RMB/KG, while in Hainan, the same size has fallen to 10.8 RMB/KG.
Following Trends in Tilapia Raw Material Prices
The summer harvest seasons of July and August will conclude the period of low supply. This year, Guangdong’s farmers have increased their tilapia baby by 30% compared to the previous year. The big amount of tilapia during these months will be harvested. Processors expect the current downward trend in tilapia price will persist into August.
Status of Tilapia Processing Plant Orders:
The orders postponement caused by the initial shortage of raw materials is gradually being solved, with the shipment of smaller size orders expected to return to schedule. However, a full resumption of normal operations is anticipated to take more time.
For larger size orders, further waiting is necessary as the current raw material sizes are still the smaller. By October, there will be an increased availability of larger size raw materials to meet demand.
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