China is one of the biggest and most notable seafood and aquaculture player in the world with almost 35% of global fish resources being produced in China. It will be an understatement to say, that Tilapia didn’t play important role in achieving this incredible feat. In less than 30 years production of Chinese Tilapia increased from 0.12 to 1.66 million tons per year.
Tilapia aquaculture started in the 1960s. But not until the 1990s that this industry entered the phase of rapid growth. When in the 1960s China produced 3,496 tonnes, by 2020 production was already 1,655 thousand tonnes. As in lots of different spheres, the initial growth rate had a bumpy road. 1961 – 1970, 5.84%, 1971 – 1980, 4.21%. 10 years before the new millennium farmers finally recognized Tilapia and got a boost of 26% annual increase.
COVID
At the first glance, China wasn’t very affected by the Covid-19 as 2020 growth rate only decreased to 0.84% with is 0.21% less than was in the last year. But whenever you look deeper, we can clearly see it is not the case. According to 2020年中国罗非鱼出口产业不容乐观_腾讯新闻 (qq.com), In 2019, the total import volume of Chinese Tilapia in the United States was 172,533 tons, with an import volume of US5591.7 million. However, compared with 2018, imports decreased by 8.5% and imports fell by 13.9%. The import volume and value of this product have both declined (by 13.7% and 15.7%, respectively)
Tilapia prices have been on a downward trend. As of the end of 2019, the prices of 500-800 grams and 300-500 grams of tilapia in Guangdong, China, have fallen to about $1.05 per kilogram and $0.77 per kilogram, respectively. At the same time, the export price of frozen whole Chinese tilapia fell by about 9% year-on-year, slightly more than $2 per kilogram. At the beginning of 2020, the decline in China’s exports led to an increase in prices.
In early 2020, the COVID-19 outbreak in China and subsequent containment measures led to delays in tilapia production, feed shortages, restricted processing activities, and weak global markets. Although the situation improved in March, many factories had been slow to resume full production capacity as of the end of April due to restrictions on the movement of workers and insufficient demand. As a result, mature fish are left in ponds, and many farmers were unable to raise young fish for the next breeding cycle.
New year
When the whole world was opening up, China was faced with new challenges. Ever since the Olympic games in 2022, Covid was once again introduced to well preserved from this disease bubble. And in an attempt to stop it from spreading already existing measures became stricter. Starting from difficulties in transporting goods between provinces and much more customs clearance control. But it all changed in 2023.
New Future
When the whole world was opening up, China was faced with new challenges. Ever since the Olympic games in 2022, Covid was once again introduced to well preserved from this disease bubble. And in an attempt to stop it from spreading already existing measures became stricter. Starting from difficulties in transporting goods between provinces and much more customs clearance control. But it all changed in 2023.
In our previous article, we explained what kind of change happened and why do you hear about the Chinese economy “waking up”. In a few words – Just last month customer clearance announced changes that will affect international trade in general. And this is already influenced many products. Chinese Tilapia 2023 and Panga prices are rising day by day. Experts from Ocean Treasure believe they will keep this trend for at least a month. It’s usual for prices to rise after the Chinese New Year. But the pace is surprising. For example, in just a month price changed to 20 cents per kg.
We highly encourage you to contact us and use this trend to your advantage.
Ocean Treasure strives to stay ahead of the competition and provide our clients with the best offer for a competitive price. If you contact us now, you will not only be able to prepare for the Q1 purchase plan but so save a significant chunk of your money. Get your offer as soon as possible.
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