HIGHLIGHTS OF THE GLOBAL FISHERIES ECONOMY IN 2023

According to FAO, the highlight of the global fisheries economy in 2023 is weak demand, stagnant production and reduced trade volumes.

Looking at the current situation, FAO has predicted that global seafood supply will slow down, with total global seafood production increasing slightly (+ 0.6%) compared to 2022; reached 185.4 million tons. Although aquaculture production is expected to increase by about 3%, it is still significantly lower than the previous growth rate of aquaculture production. Meanwhile, fisheries are being limited by extreme weather events and reduced quotas. It is expected that mining output will decrease by about 1.7% compared to the previous year, reaching 1.5 million tons. Slowing production is also reflected in reduced seafood trade volumes, which are expected to fall to 65 million tons by 2023.

The anchovy harvest in Peru has been severely affected by the El Niño phenomenon, leading to closures and increasingly limited supplies of fishmeal and fish oil worldwide. Fishing output in the first six months of 2023 only reached 640,000 tons, down 70% over the same period last year. Peruvian anchovies are the main source of fishmeal and fish oil globally. Furthermore, the supply of fishmeal and fish oil is also related to the development prospects of many other industries. The impact of reduced supplies and rising prices will therefore be felt globally in sectors ranging from aquaculture to livestock farming – sectors where they are important ingredients of animal feed, aquaculture – as well as affecting the pharmaceutical and pet food manufacturing sectors…

Trade has declined in both volume and value throughout the first six months of 2023, with most major seafood markets in the world showing signs of decline compared to last year. This decline can be attributed to a number of factors, depending on the country context, with weak consumer demand and currency fluctuations seen as the main contributing factors to this volatility. Despite a stronger US dollar, US imports are expected to decline 16% in value over the same period in 2023, reflecting weak consumer demand, contributing to lower import volumes for key species such as crab and salmon; as well as reducing the prices of popular imported items such as whiteleg shrimp and tuna. Both countries, South Korea and Japan, saw imports fall 8% in value. In the European Union, the world’s largest market (by value), imports are expected to stabilize despite the weakening of the Euro and reduced ability to pay for imports.

Meanwhile, consumer demand and affordability of seafood products remain key concerns for the fishing and aquaculture industry. High prices for some aquatic species, combined with weak economic growth, have negatively impacted demand for caught and farmed aquatic products. Rising prices in the first six months of 2023, especially for key species such as cod, herring, mackerel and tuna, have resulted in all of these species being in short supply. The FAO Fish Price Index for aquaculture products decreased by 13% from January to September 2023, while the price of exploited seafood increased by 12% compared to the same period last year. Such different price increases/decreases reflect changing consumer preferences. Especially species with relatively affordable prices (such as shrimp, small pelagic fish and pangasius) have increasing demand.

(Source: https://tongcucthuysan.gov.vn/)