HCMCity (VNS/VNA) -  Seafood exports are expected to fetch 2.1billion USD in the second quarter, a year-on-year increase of 10 percent,according to the Vietnam Association of Seafood Exporters and Producers (VASEP).

With their agility in exploring and diversifying markets, enterprises wouldcontinue to expand exports, it said.

It forecast shrimp export to top 980 million USD in Q2, a year-on-year increaseof 10 percent, and pangasius and marine product exports to increase by 7 percentand 9.6 percent to 712 million USD and 816 million USD.

Seafood exports fell significantly in the first two months of the year due to adisruption in the supply chain, especially logistics, as a result of theCovid-19 pandemic.

But they recovered in March to rise to 2.39 billion USD in the first fourmonths, an increase of 6 percent from a year ago, as enterprises made effortsto adapt to the changes caused by the pandemic and capitalised on free tradeagreements to push exports, the association said.

Truong Dinh Hoe, VASEP's general secretary, said the EU-Vietnam FTA had greatlyboosted exports of seafood products to the EU.

The UK-Vietnam FTA, which would take over when the EU-Vietnam Free TradeAgreement expires for the UK, opened up opportunities for Vietnamese seafoodfirms to promote exports to a market that used to account for a third of itstotal shipments to the erstwhile bloc of 28 countries, he added.

Nguyen Hoai Nam, VASEP deputy general secretary, said demand from major importmarkets such as the US, Japan and China would continue to increase.

The US market would continue to be a bright spot for many Vietnamese seafoodproducts such as shrimp, pangasius and others, he said. Vietnamese exporterswould have more opportunities to export to the US since India, the largestshrimp supplier to the market, was facing production difficulties due to thepandemic, he added.

Ho Quoc Luc, Chairman of Sao Ta Food JSC, said global demand for shrimp usuallyincreased by 5 percent a year whereas output in major producing countries wouldnot increase this year.

"Shrimp prices might increase slightly this year. Vietnam’s shrimp exportsmight go up by 5-7 percent."

Hoe said: "Covid-19 has changed consumption habits globally, with peopleeating at home more frequently and tending to eat more seafood products,especially shrimp. The trend is expected to continue for the next few years."

To further increase exports, the seafood sector must find ways to reduce coststo become competitive, he added.

Though there are good signs in the market, exports will still be affected byhigh transport and input costs, according to the association.

Besides, businesses must realise that the fight against Covid-19 will continueto be an important task in 2021, and have plans to store raw materials.

In the context of high input costs in aquaculture, Tran Dinh Luan, director ofthe General Department of Fisheries, said the seafood sector would continue topromote linkages in production to enable firms to get good quality ofinputs at reasonable prices and enhance the use of technology to increaseproductivity, reduce costs and protect the environment./.