SHRIMP FARMING FACING DIFFICULTIES

(CTT-Dong Nai) –  Intensive shrimp farming in brackish water utilizing advanced technologies used to be highly profitable. However, even though it is time for a new crop, many shrimp farmers in Dong Nai still hesitate due to various potential difficulties.

 Thanh Cong Aquaculture Services Co-operative in Phuoc An commune, Nhon Trach district​

In recent years, the prices of shrimps and fisheries products plummeted both domestically and internationally, while the costs of investments kept increasing.

Troublesome exportation

After the Tet holiday 2023, the price of brackish water shrimp continuously plummeted. At the moment, it is only 125.000VNĐ for a kilograms of white-leg shrimps (around 30 of them). Comparing this to last year, the price has dropped about 50.000 to 60.000VNĐ per kilogram. This is mostly caused by the troublesome exportation. 
According to the Vietnam Association of Seafood Exporters and Producers's figures, in the first 4 months of 2023, seafood exports only reached approximately 2.6 billion US dollars, 36% lower than the same period in 2022. Exports to major internationally markets suffered the same massive drops, for example: 57% drop in the US, while it was 37% in China… The world's economic recession, and hyperinflation causing people to spend less and less are the main reasons. This situation has also occurred domestically since the start of this year, slowing the country's consumption rate comparing to every year's.
Mr. Nguyen Huy Binh, Director of Thanh Cong Aquaculture Services Co-operative, in Phuoc An commune, Nhon Trach district, said that while the shrimp's price plummeted, the amount of matured shrimps, which are waiting to be harvested, are still numbered in the hundreds of tons. This is due to exporting companies refuse to buy them, and the domestic market also experiences slower purchasing power.
According to Mr. Bach Cong Tai, a shrimp farmer in Ba Truong hamlet, Phuoc An commune (Nho Trahc district) said that he invested in 3 shrimp farms with an total area of 3 hectares. Farmers who follow this model don't have to worry about losses, since the water source is carefully treated, the chance of shrimps suffer sickness is almost none. The main difficulty farmers are facing, which causes many of them to hesitate to invest in new crops, is the price continously plummets, and it is estimated to be unable to recover in 2023.

Having trouble achieving profit
According to a report by the Nhon Trach district's Economic Office, currently the district total shrimp farming area are approximately 1.700 hectares, many of which are located in Phuoc An and Vinh Thanh commune. Many of them are utilizing advanced intensive farming techniques. The local administarion is still trying to help farmers incorporating advanced techniques into the intensive farming model; and attracting investors to invest into these farms. Thanks to the advanced technologies, farmers can control the quality of the breed, the breed's mortarity rate, immunity, enough food to meet the shrimp's needs, and most of all, they can carefully treat the shrimp's excretion in the bottom of the pond, keeping the farms as clean as possible. Moreover, this new model was more profitable than the traditional one. In its heyday, one hectare of this new model could make a profit of 2 to 3 billion a year.
At the moment, in Long Thanh and Nhon Trach district, it is time for a new shrimp farming season. However, the current difficult situation scares farmers from continuing their jobs.
According to local farmers, investment in shrimp farms are facing many problems when even at the start of the year, aquaculture feeds have increase in price. Other costs such as breedings, workers,… also increase. However, the main reason is still the reduced shrimp's price causing farmers to hesitate when they consider starting a new crop.
A majority of farmers are planing on reducing the scale of their farms to minimize the risk. Mr. Nguyen Huy Binh estimated the export market and shrimp consumption can hardly recover in 2023 due to economic crisis. As a result, many farmers will hesitate when starting a new crop. His family are also planning on cutting 30 to 40% of the total farming area, as he mainly tries to keep his workers around, but he does not think he will be able to profit in this new farming season.   ​