Tuna exporting enterprises worry about order disruption

DNVN - Rising tensions between Iran and Israel are putting Vietnamese tuna export businesses at risk of order disruptions, especially in the final months of the year. Although Israel is a potential market for Vietnamese tuna, regional conflict could negatively impact transportation and exports.

Israel has become an important tuna export market for Vietnam, ranking behind the US and the EU. Statistics from Vietnam Customs show that in 2023, tuna exports to Israel increased by 37% compared to the previous year, reaching over $50 million. The Vietnam-Israel Free Trade Agreement (VIFTA), signed in July 2023, has brought many opportunities for Vietnam's fisheries industry, especially tuna.

Entering 2024, tuna exports to Israel continued to record strong growth, but in the last three months there have been signs of slowing down. Specifically, export value decreased by 31% in July; however, in August there were signs of recovery with a 20% increase compared to the same period last year, but it still did not reach the expected level.

Tensions between Iran and Israel could create fluctuations in tuna exports in the near future.

The Vietnam Association of Seafood Processing and Export (VASEP) considers Israel a potential market for Vietnamese tuna. Despite frequent conflicts in the Middle East, tuna exports to the region have maintained an upward trend.

However, Ms. Nguyen Ha, a tuna market expert at VASEP, warned that tensions between Iran and Israel could create volatility in the near future.

Furthermore, the Middle East, with its strategic location connecting three continents—Asia, Europe, and Africa—is a hotspot for maritime transport. If the conflict continues, the sea route through the Gulf of Aden, one of the most important routes between Europe and Asia, could be affected. Disruption of this route would impact international trade, including Vietnam's seafood exports.

This year, tuna exporting businesses are also facing difficulties in sourcing raw materials domestically due to regulations on the minimum size of skipjack tuna allowed to be caught. This forces businesses to increase imports, leading to higher transportation and financial costs.

After a long period of hardship, many businesses are hoping for a year-end holiday season to revive production and exports. However, if the Israeli market faces difficulties, inventory levels will increase, putting pressure on cash flow and making it even harder for businesses to maintain operations.

Minh Thu

Source: https://doanhnghiepvn.vn/kinh-te/doanh-nghiep-xuat-khau-ca-ngu-lo-gian-doan-don-hang/20241017062558076