Viewpoints proposing solutions to improve the competitiveness of Vietnamese seafood products from the EVFTA trade agreement on the EU market to 2030 90 3.3.. Solutions to improve the com
The concept and characteristics of fisheries, seafood industry
1.2.1.1, The concept of seafood, seafood industry
Seafood encompasses all aquatic organisms and resources that humans harvest, cultivate, and utilize for food, raw materials, or commercial activities.
The seafood sector encompasses a wide range of activities, including fishing, aquaculture, transportation, preservation, processing, and trading of seafood It also involves the exporting and importing of seafood products, along with providing essential services aimed at protecting and developing aquatic resources.
1.2.1.2 Main characteristics of seafood production and trading
Aquaculture production involves the cultivation and harvesting of aquatic organisms, including both animals and plants To optimize efficiency, it is essential to maintain a suitable habitat for these organisms.
16 properly managed and improved Water bodies play an undeniably important role, which is the basic habitat on which aquatic species depend and survive.
Land is a vital resource in seafood production, characterized by its limited area but unlimited productive potential The quality of land varies significantly due to factors such as soil structure, topography, and specific location Therefore, it is essential to implement careful management strategies that consider legal, technical, and economic aspects to optimize its use.
Seafood production is influenced by both human activities and natural reproduction processes, creating a complex management dynamic This complexity arises from the misalignment between labor efforts and the timing of natural production cycles, making effective seafood management challenging.
The aquaculture industry demands a comprehensive understanding of biology, species characteristics, and ecological principles Establishing habitats that align with the ecological needs of aquatic species is crucial for the industry's sustainable growth Nonetheless, aquaculture faces challenges from natural factors like climate, weather variations, and species interactions, which complicate the production process compared to other industries.
Position and role of the seafood industry in the national economy
1.2.2.1 Provide food, create sources of nutrition
Aquaculture plays a vital role in meeting global food needs by enhancing seafood production, which has expanded from deep-sea operations to remote areas This growth has significantly influenced the dietary habits of people, offering a crucial source of nutrition Furthermore, small ponds and lakes across various terrains, from plains to mountains, are effectively utilized for aquaculture, contributing to sustainable food sources.
The seafood sector plays a crucial role in food production and security by enhancing dietary protein and vitamin intake This industry not only ensures a stable food supply but also generates employment opportunities, particularly in rural and coastal communities Recent initiatives have aimed at developing sustainable fishing and aquaculture practices while supporting impoverished populations in entrepreneurship Additionally, family economy models are significantly contributing to job creation for coastal fishermen, while private and smallholder economic models are vital for providing employment across various regions.
The seafood sector is enhancing food security and alleviating poverty by implementing aquaculture programs in remote regions In coastal areas, there has been a transition from traditional aquaculture methods to more advanced industrial farming practices This shift has led to the successful establishment of large-scale shrimp farming, significantly improving the livelihoods of local residents and helping many escape poverty.
Aquaculture in expansive water bodies, particularly fish farming in reservoirs, has thrived and is closely associated with rural development initiatives and poverty alleviation strategies in remote regions.
Currently, the encroachment into the sea to expand rice agricultural land has been replaced by going to the sea to create an industrialized and modernized economy.
Saltwater is now seen as a new potential for wet rice agriculture, with aquaculture being tens of times more efficient than wet rice farming.
The transformation of unproductive agricultural lands into aquaculture has surged due to the increasing demand for seafood, contrasted with the declining value of traditional crops This shift not only enhances the economic landscape of coastal and rural regions but also plays a significant role in poverty alleviation and improving the livelihoods of farmers.
The low-lying fish farming movement flourished in many rural areas, bringing high productivity and efficiency, along with rising incomes and poverty reduction for workers.
1.2.2.5 Create new occupations, increase land use efficiency
Farmers efficiently utilize small ponds and lakes for land and labor, often opting for landscape farming that requires minimal capital investment However, an increasing number of farmers are transitioning to selective semi-intensive and intensive farming methods to cultivate high-yield freshwater fish species, including sesame, carp, Indian drift, and perch.
1.2.2.6 An important source of exports
The seafood industry consistently ranks among the top sectors for export value, significantly contributing to the country's foreign currency earnings.
1.2.2.7 Ensuring national sovereignty, ensuring national security and defense in remote and remote areas, especially seas and islands
The seafood sector is crucial for safeguarding maritime sovereignty, ensuring social stability, and fostering economic growth in coastal regions and islands Additionally, it plays a significant role in the national defense strategy and enhances the security of the populace.
Concepts and criteria for assessing the competitiveness of Seafood products 18 1.2.4 Factors affecting the competitiveness of exported seafood products
products 1.2.3.1 Some concepts of competitiveness and competitiveness of exported seafood products a Compete
The concept of competition has evolved significantly over time Historically, researchers characterized competition as an intense struggle among capitalists striving for maximum profits in production and business During the feudal and pre-capitalist eras, competition was perceived as confrontational, marked by fierce rivalry, exclusionary practices, and the exertion of power to control the market.
The landscape of competition has evolved significantly, with many countries recognizing that quality product competition is essential for economic growth and enhancing living standards As a result, businesses are increasingly prioritizing the development of high-quality products to satisfy the rising demands of consumers.
Economic competition involves the rivalry among various economic actors, including producers, distributors, and consumers, striving to optimize their interests in the production and consumption of goods and services This competitive landscape drives innovation and efficiency, ultimately benefiting all participants in the market.
The growing interest in "competitiveness" spans across researchers, politicians, managers, and business professionals; however, there remains a lack of consensus regarding its definition and practical application.
Through different resources, competitiveness is defined from many angles:
- According to Bai Shuqlang, competitiveness is "the ability of an enterprise, industry or country not to be surpassed in economic capability by competitors".
- The Organization for Economic Co-operation and Development (OECD) defines
Competitiveness refers to the capacity to generate significant income through the efficient utilization of production factors, enabling businesses, sectors, localities, countries, and regions to achieve sustainable development within a global competitive landscape.
- The World Economic Forum considers "competitiveness as the ability of a country to achieve a high and sustainable per capita income growth rate";
- The President of the U.S Competitiveness Council defines "competitiveness as the ability of a country, in a free and healthy market environment, to produce products and services consistent with international market requirements";
- The Competitiveness Advisory Group considers "competitiveness to be related to factors of productivity, performance and profitability, strengthening living standards and social welfare."
Competitiveness refers to the capacity to leverage resources and advantages to develop market-appropriate products and services, ultimately fostering sustainable income opportunities for competitive entities.
Competition is analyzed at different levels: national competition, industry competition, enterprise, and product competition.
The U.S Industrial Competition Commission defines national competitiveness as the capacity to produce goods and services that fulfill international market demands within a framework of free and fair market conditions, all while ensuring the maintenance and growth of real incomes for its citizens.
- The World Economic Forum defines national competitiveness as a country's ability to achieve high and sustainable economic growth over time.
- Michael E Porter focuses on labor productivity as an important factor, while also tied to the competitive strength of businesses in the nation.
International organizations such as the OECD, IMD Academy, and WEF often assess and rank national competitiveness The level of national competitiveness is important for attracting foreign investment.
- The industry-wide average productivity factor approach focuses on improving industry productivity.
- M Porter focuses on the competitive pressure that every industry and business faces Negotiating power and threats from new or existing adversaries play an important role.
Product competitiveness has many different perspectives:
- One view measures the competition of products based on market share.
- Another perspective emphasizes product quality, brand and value-added factors for customers.
- Continuous innovation to create products with superiority, increasing value for consumers.
- Focus on factors such as product structure, quality, brand, and availability of goods.
Each perspective refers to the competitiveness of a product or service through different criteria, and consumer acceptance is the final expression of that product's competitiveness. d Competitiveness of exported seafood products
The phrases "competitiveness of exported seafood" are prevalent in research, business, and government reports While some researchers advocate for a uniform application of these terms across various competitive levels, others contend that they differ, suggesting that each study presents a unique viewpoint on the subject.
Coming up with a single definition for these terms is difficult and requires the consensus of researchers However, there are commonalities in this view:
Firstly, the competitiveness of exported seafood products is understood as competition at the product and micro levels.
The concept highlights competition among countries and businesses rather than between individual seafood products To effectively assess the competitiveness of exported seafood, it is essential to examine the production and business operations of enterprises, along with the support provided by the government and relevant ministries and agencies.
Competitiveness involves various dimensions, ranging from existing advantages to future opportunities To enhance the competitiveness of exported seafood products, it is essential to harness new potentials both internally and externally, thereby establishing innovative competitive advantages.
The competitiveness of exported seafood products refers to the ability to sustain and improve their market position against rivals in the export sector, ultimately aiming to maximize benefits.
The competitiveness of exported seafood hinges on its ability to maintain a competitive advantage over rivals, which is rooted in both internal and external factors Key internal elements include product quality, sensory attributes, and usability, while external factors encompass distribution strategies, pricing policies, and marketing efforts By capitalizing on these advantages and leveraging available resources and business opportunities, seafood products can enhance their competitiveness This enhancement is achieved through strategic actions that utilize the strengths and potential of businesses and countries, as well as adapting to market conditions to outpace competitors.
1.2.3.2 Criteria for assessing the capacity of exported seafood products
There are several methods to assess product competitiveness, typically categorized into three main approaches First, direct market assessment focuses on criteria like revenue growth and market share Second, product evaluation considers factors such as quality, price, utility, and design Third, customer perspective evaluation looks at satisfaction, product awareness, and brand loyalty While each method provides valuable insights into product competitiveness, direct market assessment is often regarded as the most significant.
Seafood exports from developing nations to developed countries primarily consist of raw or minimally processed products Exporting companies typically lack direct connections with retail outlets or supermarket chains in the importing markets Instead, these seafood products are frequently sold to large procurement centers or multinational corporations before they reach consumers Consequently, when seafood from developing countries finally reaches consumers in developed markets, it often undergoes several intermediaries.
23 of them will be marked with the label of the importer or retailer As a result, judging based on customer opinions becomes difficult within the scope of this study.
This study will focus on two primary methods: direct market assessment and direct product evaluation The analysis will utilize four key criteria to gauge the competitiveness of seafood products: the quality of exported seafood, pricing, potential for export growth, and market share in exports Quality is a crucial factor in determining the overall success of seafood products in the global market.
Experience of some countries in improving the competitiveness of seafood
products in the EU market 1.3.1 China's experience in improving the competitiveness of seafood exports to the
China ranks as the second largest seafood exporter to the EU, following Norway In 2022, the country exported 3.5 million tons of seafood to the EU, generating a revenue of 3.41 billion Euros From 2015 to 2022, China's seafood exports to the EU experienced an impressive average annual growth rate of 9%.
In 2021, China emerged as the largest exporter of fish fillets and fish meat to the EU, with exports totaling 639 thousand tons and generating revenue of 937 million Euros Additionally, mollusk products significantly contributed to China's trade, with 510 thousand tons exported, amounting to 201 million Euros.
To achieve these results, China has taken a series of combined measures to improve the competitiveness of seafood exported to the EU.
China's development strategy for the seafood industry involves a significant structural adjustment, transitioning from traditional fishing practices to modern aquaculture This shift emphasizes enhanced processing capabilities and investment in high value-added seafood products Additionally, China is actively expanding its export markets while adapting to the challenges posed by EU market barriers.
Table 1.1: China's seafood exports to the EU by value, by item, 2015-2021
2015 2016 2017 2018 2019 2020 2021 invertebrates other than crustaceans and molluscs, live, fresh, chilled, frozen, dried,
Fish, fit for human or in brine; smoked fish,fit for human consumption,
Frozen fish (excl fish filets and other fish meat of heading 0304)
Crustaceans, whether in shell or not, live, fresh, chilled, frozen, dried, salted or in brine,
Molluscs, fit for human consumption, even smoked, whether in shell or not, live, fresh, chilled,
Fish filets and other fish
0304 |meat, whether!) 173,296|1,153,986|1,147,067|1,227,823|1,478,676|1,098,339| 936,891 or not minced, fresh, chilled or frozen
China is transforming its aquaculture sector by shifting from traditional marine practices to intensive breeding methods, emphasizing the production of high-quality seafood This transition leverages advancements from seafood research and development agencies, including modern cage culture technologies designed to endure challenging marine conditions The focus of these studies includes assessing the economic impacts of farms, developing automated feeding systems, and enhancing management and monitoring processes for improved efficiency.
Utilizing high-quality feed is essential for enhancing product quality, minimizing costs and disease risks, reducing environmental pollution, and boosting economic efficiency Additionally, it is crucial to enhance the inspection and regulation of farmed seafood to guarantee the safety and quality of aquatic products.
China is prioritizing the modernization of its seafood industry by adjusting its fishing practices, shifting from traditional methods to more advanced techniques This transition emphasizes the importance of protecting seafood resources and preserving the ecological environment during offshore fishing activities.
They also place special emphasis on the application of post-harvest preservation technology.
China is making significant investments in seafood processing technology, prioritizing the development of high value-added products The country is committed to establishing stringent food safety processing standards and enhancing seafood quality inspection systems Additionally, China imports substantial quantities of seafood each year, primarily for reprocessing and subsequent export.
China is prioritizing the production and diversification of value-added seafood products, with a focus on key items such as fish fillets and processed or packaged crustaceans and krill This shift highlights the growing emphasis on enhancing product value within China's seafood processing industry.
1.3.2 India's experience in improving the competitiveness of seafood exports to the EU
India boasts a robust seafood industry, ranking among the top developing countries and standing as the sixth largest seafood exporter globally The country's seafood exports are predominantly driven by frozen shrimp, which represent over 30% of the total export value India is the largest supplier of frozen shrimp to Japan and holds the third position in the US market Additionally, fish constitutes the highest volume in India's seafood exports, with pit fish leading the category.
India ranks among the top 10 seafood exporters to the EU, experiencing an average annual growth of approximately 7% from 2015 to 2022 In 2021, Indian seafood exports to the EU reached 1.23 million tons, generating a total revenue of 872.62 million Euros.
India's seafood exports to the EU are dominated by crustaceans and mollusks, with crustacean exports reaching 688,000 tons and generating €401.7 million in 2021 In the same year, mollusk exports totaled 158,920 tons, contributing €232.92 million to the economy.
Table 1.2: India's seafood exports to the EU by value, by item, 2015-2021
Fish, fit for human consumption, dried, salted or in
0305 |brine; smoked 992} 1,347 807| 1,624] 1,254 743 931 fish, fit for human consumption,
Fish, fresh or chilled (excl fish
0302 9,309} 7,196} 5,259} 4,545} 2,922} 1,584} 1,730 filets and other fish meat of heading 0304)
Frozen fish (excl. fish filets and
0303 16,000} 15,236] 15,286} 14,307) 19,397| 15,280} 14,837 other fish meat of heading 0304)
Fish filets and other fish meat,
0304 12,367| 16,179] 16,455} 17,754} 15,924} 9,209} 18,019 whether or not minced, fresh,
Molluscs, fit for human consumption,
0307 |even smoked, |264,318|337,224|397,493|291,186|284,662|232,918|318,949 whether in shell or not, live, fresh, chilled,
Crustaceans, whether in shell or
0306 545,899] 514,227/552,148|440,191/447,128/401,707/518,031 not, live, fresh, chilled, frozen, dried, salted or in brine,
To achieve these outstanding results, India has implemented a series of comprehensive measures to improve the competitiveness of the seafood industry exported to the EU market Some important measures include:
Aquaculture adheres to international ecological standards through the "Ecological Aquaculture" project, encompassing all stages from incubation and feed production to farming, processing, and export This comprehensive approach ensures high-quality output while meeting stringent quarantine and food safety regulations.
India has established a robust seafood processing infrastructure, encompassing everything from fishing vessels to cold storage facilities The country has implemented a policy to import aquatic raw materials, aiming to enhance value addition and boost exports This strategic approach leverages existing processing capacities while ensuring sustainable growth in the seafood industry.
37 product quality India also uses modern processing equipment and applies technology Advanced technology to ensure product quality.
India is committed to sustainable seafood development by implementing various conservation measures, including banning certain fishing practices like tuna fishing with fin nets and squid fishing, as well as addressing overfishing Additionally, the country has established legal frameworks to ensure the quality management of seafood and seafood products.
India is actively enhancing foreign investment in the seafood export sector by promoting collaboration and joint ventures in innovative technologies and emerging markets The government is also facilitating equitization, prioritizing infrastructure development, and reinforcing quality management of seafood products to attract more investments.
Thanks to its abundance of natural resources, India is moving towards becoming one of the world's leading seafood processing and export hubs.
1.3.3 Lessons learned for Vietnam in improving the competitiveness of seafood products exported to the EU
CURRENT STATUS OF COMPETITIVENESS OF VIETNAMESE
Overview of the production and export of Vietnamese seafood products
2.2.1 Situation of aquaculture and exploitation of Vietnam
Over the past 17 years, Vietnam's aquaculture industry has experienced significant growth, driven by government support for development This sector has seen a consistent rise in seafood production, contributing substantially to the nation's overall seafood output As a result, Vietnam has emerged as a leading player in global seafood production, with the industry playing a crucial role in the national economy, according to the Vietnam Association of Seafood Exporters and Processors.
In Vietnam, over 50% of seafood production comes from aquaculture, with a remarkable output of 5.234 million tons in 2022, reflecting a 7% increase from the previous year Domestic aquaculture consistently contributes nearly 90% of the total production, showcasing the country's diverse and rich aquaculture practices Preliminary statistics reveal that there are 544 species of freshwater fish, alongside a variety of brackish and saltwater fish, highlighting the extensive biodiversity within Vietnam's aquaculture sector.
Table 2.2: Vietnam's seafood production, period 2015 - 2022
Vietnam's fishing output has risen significantly, from over 3 million tons to 3.87 million tons, marking a 29% increase, with marine seafood production making up over 90% of the total catch However, the seafood catch is experiencing a slow increase, while domestic fishing output is declining by an average of 2.7% annually, indicating a sharp decrease in seafood resources due to overexploitation and environmental degradation Additionally, pollution in river systems and canals across the country has worsened, and domestic fishing facilities remain basic, relying heavily on traditional tools such as nets and other rudimentary equipment.
According to data from ITC, in the period of 2015 - 2022, Vietnam's seafood export turnover increased quite steadily, averaging 5% / year With an average export
47 turnover of 5.4 billion Euros per year, Vietnam ranks 4th after Norway, China, Ecuador, Russian Federation surpassing the US, India
Table 2.3: Seafood export turnover of some countries in the world
Source: Trade map - ITC October 2023
2.2.2.2 Structure of seafood exports of Vietnam
Vietnam's seafood exports primarily consist of three key commodity groups: fish fillet and fish meat (HS code 0304), crustaceans (HS code 0306), and processed mollusks (HS code 1605) These categories collectively represent over 80% of the country's total export revenue.
In 2022, seafood exports from Vietnam were dominated by three key products: shrimp, pangasius, and tuna Shrimp led the market with exports valued at $4.3 billion, representing approximately 39.5% of the total seafood export value and an 11% increase from 2021 Pangasius followed with $2.35 billion in exports, accounting for over 22% of the market and experiencing a remarkable 70% growth year-on-year Tuna exports also rose by 34%, reaching nearly $1 billion and making up about 9.2% of the total Additionally, exports of squid and octopus surged to nearly $80 million, marking a nearly 30% increase.
From 2015 to 2022, Vietnam's seafood industry made significant strides in expanding its export markets, achieving notable successes In 2022, Vietnam exported seafood to 154 markets without relying on intermediary markets like Hong Kong and Singapore The top six markets—Japan, the United States, China, the European Union, South Korea, and ASEAN—accounted for nearly 80% of the total export turnover.
Table 2.4: Vietnam's export turnover, by market
Sources: ITC calculations based on Association of Southeast Asian Nations (ASEAN)
US market: Recently, the US has become the largest importer of Vietnamese seafood In
2021, the US accounted for 23.6% of Vietnam's total seafood exports, reaching 1.06 billion USD, up 45% compared to 2020.
China's seafood market presents significant opportunities due to its diverse consumption patterns and a population of 1.4 billion people Recent reductions in import controls, including inspection and quarantine measures, have streamlined the export process With an average annual seafood consumption of 54kg per capita, China accounts for over 20% of Vietnam's total seafood exports, highlighting its importance as a key market for seafood trade.
The EU serves as a crucial seafood consumption market and a key export destination for Vietnam In 2017, Vietnam received a "yellow card" from the EU for not complying with regulations against illegal, unreported, and unregulated (IUU) fishing, which initially hindered the seafood industry However, after five years, Vietnam's seafood sector has shown significant recovery and growth, with the EU now ranking as the fourth largest export market for the country In 2022, pangasius exports surged by 65%, tuna by 40%, squid and octopus by 30%, and shrimp by 14%, demonstrating the industry's resilience and expansion.
The Japanese market stands as Vietnam's third largest seafood export destination, representing 17% of the country's total seafood exports in 2021, valued at 697 million Euros—a 12% increase since 2015 The implementation of the RCEP agreement in November 2020 further enhances this opportunity by reducing tariffs to 0% on most Vietnamese seafood products, paving the way for increased exports to Japan.
2.2.3 Current situation of Vietnam's seafood exports to the EU market
The EU has historically been Vietnam's largest seafood import market, but since 2019, it has fallen to the fourth position, trailing behind the US, Japan, and China Despite this decline, Vietnam remains the second-largest seafood supplier to the EU, following China With an annual seafood import demand exceeding 50 billion USD, the EU continues to be a significant and vital market for Vietnam's seafood exports, highlighting its potential for future growth in the industry.
Vietnam-EU seafood trade situation
Figure 2.1: Seafood turnover exported to the EU market in the period of 2016 - 2022
ME Vietnam's seafood export turnover (million USD) MME Vietnam's seafood export turnover to the EU market (million USD)
Growth of Vietnam's seafood export turnover to the EU market (%)
‘ee Proportion of Vietnam's export seafood to the EU/Vietnam's total export fishery
Source: Vietnam seafood export report of VASEP in the period of 2016 — 2022
Vietnam has recorded a gradual decline in seafood exports to the EU market from
Between 2017 and 2020, Vietnam's seafood exports experienced significant fluctuations, rising from $1.22 billion in 2016 to nearly $1.5 billion in 2017 However, by 2020, exports to the EU plummeted to $958.7 million, marking a dramatic 26% decline from the previous year and representing the largest drop during this period.
The decline in seafood export turnover to the EU market can primarily be attributed to the UK's exit from the EU, which has significantly impacted imports from Vietnam, previously valued between 280 to 340 million USD annually Additionally, the COVID-19 pandemic has further exacerbated this downturn in the seafood export sector.
An important event is the EVFTA Agreement that took effect in August 2020, which is considered an important step in promoting seafood exports from Vietnam to the
Figure 2.2: Chart of the structure of seafood products exported to the EU,
Shrimp NTuna WCatfsh M&Mollusks (shells) M&#Squid, octopus MM Others
Over the past three years, shrimp has consistently been the top seafood export to the EU market, with a notable export turnover of 613.1 million USD in 2021, reflecting an 18.6% increase from 2020's 517.1 million USD Specifically, shrimp exports to the Netherlands rose by 10%, while exports to Germany and Belgium saw increases of 25% and 19%, respectively.
Tuna ranks second in Vietnam's export structure, comprising 13.4% of total exports, a 6.4% increase since 2020 While processed tuna is witnessing substantial growth, fresh tuna exports have declined by 18% This trend highlights the increasing value of Vietnam's seafood export products.
Pangasius remains a significant contributor to Vietnam's exports to the EU, representing nearly 10% of the total However, this share has been on a downward trend over the past three years In 2020, pangasius exports totaled $127.778 million, but by 2021, this amount had fallen to $106.190 million, marking a decline of nearly 17%.
eeeccccceeesecceeneceetecnneeeeseaneeeeseaeeecesaaeeceeaaeeesesaaeeeeseaaeeesseaeeesenaneeeeeeanees 93 3.3.2 Some solutions to develop sustainable aquaculture and fishing
Some solutions to enhance integration and cooperation in the export
supply chain 3.3.3.1 Strengthening integration and cooperation in the export seafood supply chain
The export value chain of various seafood products exhibits varying levels of integration and cooperation Notably, pangasius products demonstrate the highest degree of industry collaboration; however, most farmers continue to engage in spot market transactions rather than establishing long-term partnerships with export processors This situation highlights a significant absence of direct relationships among farmers, processors, and other essential stakeholders in the supply chain.
The 97 chain presents challenges in traceability, food safety, and sustainability of yields, which are critical for exporting seafood to the EU market To address these issues effectively, it is essential to implement targeted solutions that enhance these key areas.
To enhance seafood exports to the EU market, it is essential to establish connections and contracts throughout the seafood export value chain, led by export processing enterprises This initiative will be strengthened through collaboration with government support and key seafood associations, including VASEP, VINAFIS, the Shrimp Association, and the Pangasius Association.
Organize smallholder farmers to meet to improve their bargaining position. With higher yields, they can carry out more operations and enter into closer relationships with processing enterprises.
Seafood associations should engage a law firm to create sample cooperation contracts that safeguard the interests of both farmers and export processing companies By leveraging organizations like the Vietnam Pangasius Association, VASEP, and VINAFIS, it is essential to disseminate information and provide support to motivate farms and companies to establish agricultural contracts.
MARD must enhance regulations and support for contracts, including imposing fines for violators, and establish clear insurance guidelines for construction work related to aquaculture contracts Additionally, VASEP and VINAFIS should take a more proactive approach in tackling urgent issues within the industry.
AGIFISH's Clean Fish Production Joint Model (APPU) is essential for supplying high-quality, safe raw materials to AGIFISH's frozen factories This model fosters collaboration among value chain members, promoting coordinated activities APPU supports its members with technical and financial resources, including high-quality fingerlings, financial sponsorship, free disease testing, and disease prevention consulting In exchange, AGIFISH adopts a farmer's fish procurement system, ensuring a sustainable and efficient supply chain.
Strengthening cooperation and information in the seafood export supply chain
The seafood export value chain to the EU reveals a significant gap in awareness among stakeholders regarding the enablers in the aquaculture sector There is insufficient information on support initiatives, grants, and diplomatic efforts designed to foster sustainable development within the seafood industry Enhancing the dissemination of technical knowledge from research programs to all industry participants is essential for progress.
To address the issue, it is essential to establish new seafood associations that encompass producers, universities, government entities, and donors The government must provide robust support for these associations, such as the Pangasius Association, Shrimp Association, and Tuna Association, to foster collaboration throughout the value chain.
The government should prioritize the development of national seed centers to enhance quality seed production while streamlining procedures for small businesses and farmers to access credit Additionally, the government must incentivize insurers to engage in the seafood sector by collaborating with seafood exporters, thereby fostering a supportive environment for seafood insurance operations.
3.4.1.1 Complete mechanisms and policies to promote seafood exports to the EU market The Government should review, strengthen and perfect the implementation mechanism of policies related to international economic integration and import and export activities At the same time, develop a transparent import and export tax law to ensure transparency and production development The regulations must be in line with Vietnam's international commitments, especially the Vietnam-EU FTA.
The government must establish a framework to enhance the development of legal and technical guidance documents while reviewing the list of prohibited substances in the agricultural and seafood industries Strict management of chemical and antibiotic usage is essential, along with providing guidance and support to ensure compliance with regulations.
To enhance the management of aquatic food hygiene and safety across the nation, it is essential to strengthen inspection and supervision activities This involves investing in equipment, knowledge, and human resources for local inspection agencies Additionally, the Government should reorganize the structure of inspection agencies at both central and local levels to ensure uniformity in oversight and enforcement.
3.4.1.2 Improving the Vietnam-EU bilateral environment
The government should prioritize trade promotion while tackling trade barriers like Sanitary and Phytosanitary (SPS) measures and Technical Barriers to Trade (TBT) Additionally, it is essential to engage in negotiations with the EU to mitigate stringent safeguards related to antimicrobial residue control, advocating for the return of shipments with antibiotic residues to Vietnam in line with international trade standards.
The government must prioritize the conservation and sustainable management of marine resources, implement effective measures to control and treat marine environmental pollution, and establish robust strategies for preventing and responding to environmental incidents at sea.
3.4.2.1 Vietnam Association of Seafood Exporters and Processors (VASEP)
VASEP is crucial for the advancement of Vietnam's seafood processing and export sector To enhance its effectiveness, VASEP should focus on strengthening relationships with members and aquatic raw material producers, which is vital for industry growth Additionally, it should serve as a bridge between member enterprises and state management agencies, ensuring swift resolution of members' petitions and compliance with national policies International cooperation is also essential, particularly in building relationships with the EU through participation in global conferences and seminars Furthermore, timely dissemination of commercial information to members via resources like English newsletters and VIETFISH INTERNATIONAL magazine is necessary for informed decision-making.
Building databases: Building and improving web portals to support members and partners to look up information quickly and easily.