Seafood prices drop under IUU effects

VietNamNet Bridge – Seafood prices in the central region have slid strongly after the regulations on the European Union (EU)'s new IUU (illegal, unreported and unregulated fishing) law took effect on January 1.

Due to fewer contracts, enterprises have scaled down seafood purchasing, causing seafood prices in the region to drop sharply. Ocean tuna in the province fell by 20% to VND110,000 per kilo against late last year.

Under the IUU law, all seafood export shipments to the EU must clearly show the origin of the products, including the sea area where the fish are caught and the names of the fishing boats. Otherwise, they will be refused entry.

Experts said the IUU law would be the biggest challenge for local enterprises and the seafood industry in the coming time. "We are expecting the Government's policies to solve the problem and boost the export industry this year," Cao Thi Kim Lan, director of Binh Dinh Fisheries Joint Stock Co., told the Daily on Monday.

Meanwhile, some companies have seen an opportunity to buy input materials at lower prices. They hope to make more profit when the difficult time is over due to processing and storing technology.

Vu Van Tam, Deputy Minister of Agriculture and Rural Development, urged cooperation between fishermen, traders and enterprises. The IUU law is a temporary challenge but a chance for the fishery industry to reach international standards and sustain development in foreign markets.

VietNamNet/SGT