Seafood export: Why not meet the large market?

(Baonghean) - Seafood export is identified as one of the key export sectors of Nghe An province. However, most enterprises participating in the production and export of this product still have many limitations in maintaining stable output and quality.

In 2015, Nghe An's seafood exports reached 18,000 tons, worth 15.83 million USD, up 50.37% compared to 2014. In the first quarter of 2016, the turnover reached over 4 million USD. However, the province's seafood exports only accounted for 0.24% of the country's seafood export turnover.

Graphics: Huu Quan

Nghe An's seafood is currently only exported to China and ASEAN countries. Very little, even very rare, in quantity and variety is exported to larger, more demanding markets such as the EU, the US, Japan, etc.

These are markets that often have strict standards and regulations for inspecting and controlling imported products from breeds, feed, antibiotic residues, veterinary drug residues, transportation, factories...

The reason is that customers from EU countries are often very careful and meticulous in surveying and researching the market and the source of goods they want to import. They have very high requirements for food hygiene and safety and high requirements for production facilities, origin..., always wanting to verify with their own eyes before importing, while Chinese customers are more easy-going, often just confirming that the exporter has the goods is enough.

For Nghe An seafood enterprises, exporting to major markets such as the EU, the US, Japan, and Australia is still quite unfamiliar. Because, unlike Chinese traders, major customers from the EU, the US, Japan, and Australia often research the source of goods very carefully, from the production plant, preservation stage, fishing and farming processes and methods, supply capacity, product quality, etc., and then finally negotiate the price. To fully meet these requirements is not easy for seafood enterprises in the province.

Processing seafood for export. Illustration photo: Internet.

Meanwhile, when surveying the Nghe An market, some businessmen said that many seafood businesses do not offer products that match their actual capacity. Many businesses introduce their products, ask about any product, and affirm that they are able to supply regularly and consistently, but when partners decide to buy and sign contracts, they are informed that the quantity is not enough to meet the demand.

Many seafood exporting companies in the province have not really invested in factories, because most of the companies are small and retail, only focusing on collecting and making goods when there is a contract. This is explained by some businesses as because the output is not regular, frequent and stable because there is a lack of contracts to maintain production, so production must be seasonal.

The lack of investment in factories, production lines, processing and seasonal labor not only makes it difficult to meet the requirements for product quantity and quality but also significantly affects the company's image in the eyes of import partners. A foreign buyer came to a frozen factory, after examining the products in the warehouse, this customer wondered where the employees were. In fact, the employees in this factory are only mobilized to work when there are orders.

To meet the requirements of large markets, seafood exporting enterprises in the province need to improve product quality, enhance the competitiveness of export goods through investment, technological innovation, application of quality management systems according to international standards, meeting the requirements of health and environmental protection. At the same time, improve trade capacity, seek partners, sign contracts, establish and join distribution channels; develop new markets, diversify export markets; actively expand and strengthen links between domestic and foreign enterprises.

Orchid

Trade Promotion Center