A quick overview of the current shrimp market:
- U.S. Shrimp imports are running 4.4% below 2009 levels and these shortfalls are contributing to the price pressure currently seen in the shrimp market.
- Top 6 exporters to the US this year are Thailand, Indonesia, Ecuador, Mexico, China and Vietnam—Thailand, China and Mexico are up YTD.
- The struggling world economy, reduced production in certain regions, tariffs and deteriorating consumer confidence continue to impact the shrimp industry worldwide.
- In Vietnam, Black Tiger shrimp prices continue to increase due to severe supply shortages and increased demand. The main harvest season is expected to begin in late June or early July and prices are likely to remain firm.
- In Thailand, several factors have driven prices up substantially—limited supply, increasing demand, the strong Thai baht, and the instability of Thailand’s political situation.
- The immediate impact of the Gulf oil spill has been a widespread perception of rising prices. Since shrimp prices were already on the rise worldwide, the disaster has compounded the results.
- U.S. Gulf domestic shrimp landings are off to a slow start and are currently running 13% below last year.
- Reports show consumer spending rose twice as fast as income in March and a key inflation indicator, the core price index, remained stable.