Shrimp landings in Argentina have increased to 12,946 metric tons in the first three months of the year, up by 103% when compared to the same period a year ago, according to the Argentinian Ministry of Agriculture, Livestock and Fisheries (MINAGRI).
This increase in volumes has not hit prices, which have remained firm at a free-on board (FOB) average price of $6.5 per kilo for exports until the end of February. That is a 18.6% increase year-on-year, according to data from MINAGRI.
Year-on-year data shows Argentine shrimp export prices also went up, by 10.5%, to an average price of $6.75/kg in 2013.
Although official data evidences the increase in prices year-on-year, these prices are not representative, as they are an average of different sizes and types of shrimp, sold from producer to importer.
Two Argentinian exporters canvassed by Undercurrent News during the Brussels seafood show in May 2014 quoted higher prices of Argentine shrimp imports to Spain.
These exporters said onshore frozen shrimp was selling at prices ranging from €6.9/kg to €8.9/kg ($12), depending on the size.
Onshore frozen shrimp season runs from November to February in waters of the province of Chubut and from end of June to beginning of October in national waters.
Frozen at sea shrimp from Argentina has higher prices, oscillating between €9.5/kg and €7.5/kg.
The season of frozen at sea shrimp usually runs from March to May in waters of the the province of Chubut; from April to June in the province of Santa Cruz and from mid-May to November in national waters.
“Last year around 80,000t of frozen at sea shrimp were exported from Argentina,” a Spanish seafood processor that sells shrimp from Argentine said at the Brussels seafood expo.
Volumes of 2013 shrimp exports totaled 91,047t, which represents an increase of 17% from 2012. Argentine shrimp exports last year were valued at $614.7 million, up 29.3% year-on-year.
Argentine shrimp driving growth
The increase of volumes has had an impact on industry players that sell shrimp from Argentina. They see a growing potential in the species as problems with early mortality syndrome (EMS) in Asia hit vannamei supply, multiple sources said at Brussels.
Spanish seafood supplier Pescapuerta, for example, made an investment last year to improve the freezing capacity of shrimp at its plant of Puerto Madryn in Argentina.
The investment has allowed it to increase capacity to 70t per day, sales director at Pescapuerta, Alberto Lorenzo, told Undercurrent at Brussels.
“If lack of supply of vannamei shrimp from Asia continues, this will benefit eventually wild shrimp in Argentina,” Lorenzo said.
The frozen shellfish division at Pescapuerta — of which 90% is shrimp from Argentina — totaled €42m in 2013, despite a decrease in shrimp volumes by 20% to 7,484t in 2013.
Shrimp volumes went down last year at Pescapuerta since the company could only operate with one vessel, due to a fire in another vessel.
The Argentinian frozen fish processor Frigorifico del Sud Este illustrates also the opportunity seen by industry players.
The company’s CEO Ciro D’Antonio told Undercurrent back in November they were planning to increase exports of Argentine shrimp.
A few months later, in February, he said export markets were Russia, Dominican Republic, Mexico and the US.
“We started exports of shrimp in August 2013, with no more than 20t per month, while seven month later we have increased shrimp exports to 150t per month,” D’Antonio said.
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