In the past month, the price of shrimp in Ecuador has remained stable. However, prices are on the lower end, leading to reduced margins for both farmers and factories. Consequently, everyone is struggling. Meanwhile, the Chinese market continues to buy shrimp but is not willing to increase prices.
As the new season of local farmed shrimp in China begins, we see that fresh shrimp is being sold at lower prices compared to last year. Typically, this season is critical for fresh shrimp in China. It’s essential to understand the volume and timing of the harvest because if the volume is high, it can affect the purchase volume of imported shrimp. Additionally, the main sizes of shrimp harvested will influence the demand for various sizes of imported shrimp. If this trend continues, it is likely to prevent any price increases for frozen shrimp from Ecuador.
In India, the new season of Indian shrimp has started with a good seed supply. We expect the new crop to bring in a larger volume starting in June. Generally, prices are expected to drop at the beginning of the crop. However, if the crop is delayed, prices might increase due to the limited supply. We will need to monitor this situation closely.
Regarding anti-dumping duties, we see some interesting developments related to a potential 10% duty for Ecuador, but these numbers are not yet final. Therefore, it is crucial to wait for the final details before making any assumptions. Ecuadorian shrimp factories are concerned about these potential duties and are adopting a cautious approach. In contrast, Indian companies are not facing such concerns and are more optimistic.
Overall, there is a lot of news and speculation, but it is essential to stay focused and avoid jumping to conclusions. While it is challenging to predict significant price changes in Ecuador, the current indicators do not suggest any drastic movements. Both the Chinese and US markets’ news will play a crucial role in shaping the market.
For stakeholders in the shrimp market, the key lies in staying informed and adaptable as the situation evolves. If this trend continues, it is likely to prevent any price increases for frozen shrimp from Ecuador.
If you’re seeking specific advice or insights tailored to your situation, feel free to contact us. We’re here to assist and guide you through these uncertain times.
If you want to know more about the import trends in China, you can visit our blog with April 2024 statistics here.
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