Tuna is processed at KTC Food in the southern province of Kien Giang. The export value of tuna was expected to decrease by 5 per cent this year. — VNA/VNS Photo Phuong Vy

HA NOI (Biz Hub) — The Viet Nam Association of Seafood Producers and Exporters (Vasep) forecast that the export value of tuna will decrease by 5 per cent this year, bringing in an estimated US$123 million for the second quarter of the year.

Vasep predicted a drop in turnover because of a recent sharp decline of the world price of tuna, coming in below $1,000 per tonne. The global increase in tuna production, and the depreciation of the euro and Japanese yen against the US dollar are listed as causes.

Declining demand in major markets was also listed as a motivator of the price disturbance. However, unstable sources of raw tuna, was listed as the primary reason for falling tuna exports, Vasep said.

Unstable sources of raw tuna were the primary reason for falling tuna exports, Vasep said,

According to Vasep, tuna exports got off to a rocky start over the past three months dipping by 9 per cent to $104.3 million

Exports to the US, the leading importer of Vietnamese tuna, declined by 1.2 per cent, amounting to $38 million for the quarter. Exports to the EU –the second largest market – slipped more by 15.5 per cent to total $28.23 million. Shipments to Japan - the third largest market – was the most dramatic with a yearly decline of 43.2 per cent to only $4 million.

Experts had already predicted a rocky first half of this year for tuna since no signs of recovery in tuna consumption-demand and tax pressures on Vietnamese exporters remain high, especially in the major import markets of Japan, the US and the EU.

Vasep concluded that Viet Nam remained reliant on the import of half of its raw tuna, on which a temporary import tax rate of 10 to 24 per cent was levied. While the import tax rate on raw tuna was zero in several countries, taxes in general have undermined the competitiveness of Vietnamese tuna exporters, it noted.

According to Vasep, management and data collection on tuna exploitation remained weak and must be enhanced to meet the requirements of demanding importers. — VNS