WHAT'S NEW

Chinese traders manipulate seafood prices

by VTV418 July 2016 Last updated at 09:54 AM

(Photo illustrated)
(Photo illustrated)

VTV.vn - To protect farmers and shrimp exporters, the Vietnam Association of Seafood Exporters and Producers has proposed a tax on foreign traders collecting seafood products.

For many years, Chinese traders have found ways to collect and manipulate the price of seafood, causing many disadvantages in the market. 

Recently, the price of shrimp has fallen in many countries, so Chinese traders have flocked to Vietnam. They purchase at 0.5 USD higher than the market price with low requirements.

Domestic firms mostly focus on frozen shrimp processing in demanding markets. The shrimp must be high quality and the price must be low. Many companies face a severe lack of material because of this.

Despite buying high, Chinese traders still have ways to manipulate the price. Several months ago, they wanted lobster type 1, with each lobster weighing 1 kilo. However, when the quantity of type one increased, they wanted lobster type 2.

With this kind of buying and selling, many farmers follow the immediate benefits without paying attention to quality. They even use banned substances and antibiotics.

"We have to consider one’s legal status when they come to buy the products, whether they have completed the legal procedures to fulfill their responsibilities. If we do not check, it will be unfair", Do Huu Viet - Head of Nha Trang Fish Sauce Association - said.

The seafood sector still hasn't managed to control price manipulation by foreign traders, and the dependence on export quotas has created a gap for Chinese traders to manipulate the market price.

Tags:

Top VND Exchange Rates

Auto-refesh 15m

USD

EUR

AUD
1 VND
Inverse:
0.00004
22,510.0
0.00004
25,226.0
0.00006
15,674.0

Mid-market rates: 2022-12-07 11:32 UTC

WEATHER FORECAST