VIETNAM FISHERY INDUSTRY REPORT Q2/2018

Transcription

1 VIETNAM FISHERY INDUSTRY REPORT Q2/2018 1

2 Contents Executive summary Situation of aquaculture and exploitation Business environment Overview of aquaculture and exploitation Macroeconomic situation Current status of seafood exploitation Legal framework Current status of aquaculture World seafood market Production World seafood market Consumption Production Driving forces Consumption Industry planning Vietnam seafood market Enterprise analysis Characteristics of the Vietnamese fishery industry 24 2

3 Abbreviation MARD Ministry of Agriculture and Rural Development GDVC General Department of Vietnam Customs FAO Food and Agriculture Organization of the United Nations GSO General Statistics Office FTA Free Trade Agreement TBT Technical Barriers to Trade ILO International Labour Organization VASEP Vietnam Association of Seafood Exporters and Producers SPS Sanitary and Phytosanitary Measures VIRAC Vietnam Industry Research And Consultancy Joint Stock Company 3

4 Executive Summary The seafood processing sector has developed into a spearhead economic sector, Vietnam has long been a leading seafood producer and exporter in the region, along with Indonesia and Thailand is a successful year of some companies when the gross profit of big companies such as Hung Vuong, Vinh Hoan, Viet Thang, etc 4

5 Contents 1 Business environment 1.1 Macroeconomic situation 1.2 Legal framework 5

6 Part I. Business environment 1. Macroeconomic situation Gross domestic product in Q1/2018 was estimated to increase by 7.38% % GDP growth rate by quarter, 2015 Q1/2018 Source: VIRAC, GSO Fishery s contribution to GDP, 2013 Q1/2018e Source: VIRAC, GDVC 6

7 Part I. Business environment 1. Macroeconomic situation VND/USD exchange rate, /2018 The VND/USD exchange rate was stable and supported by a plentiful supply of foreign currencies Source: VIRAC, SBV % Lending rates and mobilizing rates, Q1/2018 Source: VIRAC, SBV 7

8 1. Business environment 1.1. Macroeconomic situation billion USD Import - Export, 2006 Q1/2018 billion USD Fishery s contribution to Vietnam s total exports, 2013 Q1/2018e Source: VIRAC, GDVC Source: VIRAC, GDVC 8

9 1. Business environment 1.1. Macroeconomic situation The young population structure creates a potential market for the development of the fisheries sector Million people Total population and age structure of labor force, e Source: VIRAC, GSO Thousand people Labor force in agriculture, industry, fishery, e Source: VIRAC, GSO 9

10 Contents Part I. Business environment 1. Macroeconomic situation 2. Legal framework 10

11 1. Business environment 1.2 Legal framework Fisheries Law 11

12 1. Business environment 1.2 Legal framework 12

13 1. Business environment 1.2 Legal framework Group of standards and decrees on aquaculture Group of laws, decrees on taxes with aquaculture, fishing and processing No Sector Tax rate on sales 13

14 1. Business environment 1.2 Legal framework 14

15 1. Business environment 1.2 Legal framework 15

16 Contents 2. World seafood market 2.1 World seafood market Production Consumption 16

17 2. World seafood market 2.1 World seafood market Production Global aquaculture production grew at a CAGR of 2.78% per year for the period e. Global aquaculture and fishing production, e Million tons Source: VIRAC, FAO Structure of fishing and aquaculture areas in 2016e Source: VIRAC, FAO 17

18 2. World seafood market 2.1 World seafood market Production Structure of global fishermen, 2016e Global fishermen Million people Structure of fishing fleets by area, 2014 Source: VIRAC, ILO Global fishing fleets Source: VIRAC, FAO 18

19 2. World seafood market 2.1 World seafood market Production Asia is the region with the largest fishing and aquaculture production volume in the world Structure of world fishing and aquaculture production by region, 2016 Source: VIRAC, FAO Structure of world fishing production by region, 2016 Structure of world aquaculture production by region, 2016 Source: VIRAC, FAO Source: VIRAC, FAO 19

20 2. World seafood market 2.1 World seafood market Production Thousand tons Aquaculture by region, 2015 With its long coastline, dense river systems, and the encouraging development, aquaculture in East Asia, South Asia and Southeast Asia have developed very fast. Source: VIRAC, FAO Million tons Top 10 countries in terms of aquaculture, 2016 Source: VIRAC, Worldatlas 20

21 2. World seafood market 2.1 World seafood market Production Top 10 countries in terms of fishing 2015 Million tons Source: VIRAC, FAO Top 10 most caught fishes 2015 Source: VIRAC, FAO 21

22 22 Contents 2. World seafood market 2.1 World seafood market Production Consumption

23 2. World seafood market 2.1 World seafood market Consumption Global seafood consumption, e Million tons Source: VIRAC, FAO Seafood consumption per capita, Unit: kg Source: VIRAC, FAO 23

24 Contents 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry 3.2 Situation of aquaculture and exploitation 3.3 Production 3.4 Consumption 3.5 Driving forces 3.6 Industry planning 24

25 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry Characteristics Scale of Vietnam fishery industry Number of fishery enterprises Source: VIRAC, GSO 25

26 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry Fisheries workers in Vietnam Number of laborers farming, fishing and processing aquatic products, Thousand people The quality of human resources is limited: Source: VIRAC, GSO The system of fishing ports, wharves, mooring areas: Form of organization of exploitation: 26

27 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry Strong fisheries areas in the country 27

28 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry Sector value chain and linkage among subjects in the fisheries sector, etc Value chain of aquaculture 28

29 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry Longitudinal linkages between actors in the fisheries sector Source: VIRAC, VASEP 29

30 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry Role of the fisheries sector in Vietnam 1. Role of the seafood processing industry in the national economy 2. Advantages of Vietnam's seafood processing industry 30

31 Contents 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry 3.2 Situation of aquaculture and exploitation 3.3 Production 3.4 Consumption 3.5 Driving forces 3.6 Industry planning 31

32 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Overview of aquaculture and exploitation Farming area Thousand ha Fish farming area, e Fishing fleets Source: VIRAC, GSO Fishing boats with a capacity of 90 CV, e Thousand CV Unit Source: VIRAC, GSO 32

33 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Overview of aquaculture and exploitation Seafood production, Q1/2018e Thousand tons Source: VIRAC, VASEP, GSO 33

34 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Overview of aquaculture and exploitation Fishing and aquaculture results, 2016 Q1/2018 Source: VIRAC, GSO 34

35 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Overview of aquaculture and exploitation Seafood production in Vietnam, 2016 Q1/2018e 2016 (thousand tons) 2017e (thousand tons) Q1/2018e (thousand tons) Q1/2018 compared to Q1/2017 (%) Source: VIRAC, GSO 35

36 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Current status of seafood exploitation Fishery exploitation Thousand tons Vietnamese seafood exploitation, 2010 Q1/2018e Source: VIRAC, GSO Structure of fishery exploitation by area, 2016e Exploitation output of coastal provinces by region, 2017e Thousand tons Source: VIRAC, MARD Source: VIRAC, GSO 36

37 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Current status of aquaculture Source of fingerlings Material imports 37

38 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Current status of aquaculture million USD Seafood imports, Q1/2018e Content is Source: intentionally VIRAC, VASEP, GDVC removed for demo purpose Vietnam imports mostly raw materials, aqua breeding stock. The largest imports in Q1/2018 are from the Indian market (accounting for 24.8% of the Seafood import structure, Q1/2018e import value). Followed by Norway, China, Taiwan, etc. Source: VIRAC, GDVC 38

39 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Current status of aquaculture Feed for aquaculture Aquaculture activities 39

40 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Current status of aquaculture Aquaculture Thousand tons Production of some aquatic species, 2013 Q1/2018e Pangasius Source: VIRAC, GSO Shrimp 40

41 3. Vietnam seafood market 3.2 Situation of aquaculture and exploitation Current status of aquaculture Ratio of catfish farming area self-invested in some provinces and cities in 2016 Structure of pangasius production by province, Q1/2018e Source: VIRAC, MARD Source: VIRAC, VASEP Content is intentionally removed Đối với cá tra for basa: demo purpose Shrimp farming area in brackish waters, e Thousand ha As for shrimp: Source: VIRAC, VASEP, MARD 41

42 Contents 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry 3.2 Situation of aquaculture and exploitation 3.3 Production 3.4 Consumption 3.5 Driving forces 3.6 Industry planning 42

43 3. Vietnam seafood market 3.3 Production Domestic seafood processing Seafood processing for export 43

44 3. Vietnam seafood market 3.3 Production Processing facilities of aquatic products for export by type of enterprise and kind of processed products in 2012 Type Northern Central South East South West Total Type of business State-owned enterprises Joint stock companies Private enterprises Joint venture enterprises 100% foreign owned enterprises Frozen Dried Canned Fish sauce Prawn crackers Total number of export processing facilities Proportion Source: VIRAC, VASEP 44

45 3. Vietnam seafood market 3.3 Production Stage of collection, preliminary processing, processing Shrimp Pangasius Tuna 45

46 3. Vietnam seafood market 3.3. Production Frozen seafood production, 2011 Q1/2018e Thousand tons Source: VIRAC, GSO Frozen seafood and is product that has been processed or pre-processed and are sold for domestic consumption at supermarkets, wholesale markets, shops, etc. 46

47 Contents 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry 3.2 Situation of aquaculture and exploitation 3.3 Production 3.4 Consumption 3.5 Driving forces 3.6 Industry planning 47

48 3. Vietnam seafood market 3.4 Consumption Kg Seafood consumption per capita in Vietnam, billion VND Domestic consumption value of seafood, Consumption Source: VIRAC, FAO Source: VIRAC, GSO 48

49 3. Vietnam seafood market 3.4 Consumption Vietnamese seafood is currently consumed in more than 160 markets. Vietnam's seafood exports have made great strides in the past 20 years. 49

50 3. Vietnam seafood market 3.4 Consumption million USD Seafood exports, 2010 Q1/2018e Source: VIRAC, GDVC 50

51 3. Vietnam seafood market 3.4 Consumption 51

52 3. Vietnam seafood market 3.4 Consumption Seafood export structure by value, Q1/2018e In the first quarter of 2018, the United States, Japan, China, Korea are four major seafood import markets of Vietnam. Exports of some main aquatic species in Q1/2018 according to VASEP: million USD Export value of aquatic products, Q1/2018e Source: VIRAC, GDVC Source: VIRAC, VASEP 52

53 3. Vietnam seafood market 3.4 Consumption Pangasius billion USD Pangasius export value Q1/2018e Pangasius export structure by value, 2017e Source: VIRAC, VASEP Source: VIRAC, VASEP 53

54 3. Vietnam seafood market 3.4 Consumption Pangasius million USD Export value of catfish to some markets, Source: VIRAC, VASEP 54

55 3. Vietnam seafood market 3.4 Consumption Shrimp billion USD Shrimp export value, 2011 Q1/2018e Export structure of shrimp products, Q1/2018e Source: VIRAC, VASEP Source: VIRAC, VASEP 55

56 3. Vietnam seafood market 3.4 Consumption Top 10 major shrimp importers of Vietnam are 56

57 3. Vietnam seafood market 3.4 Consumption Tuna million USD Export value of the tuna sector, 2011 Q1/2018e In Q1/2018, export value of the tuna sector was about 148 million USD Exported tuna products, 2017e Source: VIRAC, VASEP Source: VIRAC, VASEP 57

58 3. Vietnam seafood market 3.4 Consumption Tuna Export value of the tuna sector, 2011 Q1/2018e million USD Currently, tuna products of Vietnam appear in 97 countries in the world, expanding more than in Exported tuna products, 2017e Source: VIRAC, VASEP Source: VIRAC, VASEP 58

59 3. Vietnam seafood market 3.4 Consumption 8 major tuna export markets of Vietnam, including million USD Tuna export turnover by market, 2017e Source: VIRAC, VASEP 59

60 Contents 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry 3.2 Situation of aquaculture and exploitation 3.3 Production 3.4 Consumption 3.5 Driving forces 3.6 Industry planning 60

61 3. Vietnam seafood market 3.5 Driving forces Driving forces of industry development Favorable socio-economic conditions: 61

62 Contents 3. Vietnam seafood market 3.1 Characteristics of the Vietnamese fishery industry 3.2 Situation of aquaculture and exploitation 3.3 Production 3.4 Consumption 3.5 Driving forces 3.6 Industry planning 62

63 3. Vietnam seafood market 3.6 Industry planning On 8/16/2013, the Prime Minister issued Decision No.1445 / QD-TTg on approving the master plan for fisheries development up to 2020 and vision 2030 with the following main contents: 63

64 3. Vietnam seafood market 3.6 Industry planning 64

65 Contents 4. Enterprise analysis 4.1 Enterprise introduction 4.2 Business results indicators 4.3 Financial indicators 4.4 Performance indicators 65

66 4. Enterprise analysis 4.1 Enterprise introduction TOP FISHERY ENTERPRISES WITH THE HIGHEST REVENUE IN 2016 Name of enterprise Address Tax code Charter capital (million VND) Total assets (million VND) Net revenue (million VND) Hung Vuong Joint Stock Company - HVG Minh Phu Corporation - MPC Vinh Hoan Corporation - VHC Soc Trang Seafood Joint Stock Company - STAPIMEX Viet Thang Feed Joint Stock Company - VTF An Giang Fisheries Import - Export Joint Stock Company - AGF Quoc Viet Seafood Processing and Export Company Limited Nha Trang Seafoods Joint Stock Company - F17 Minh Hai Seafood Joint Stock Company Danang Seaproducts Import-Export Corporation 66

67 4. Enterprise analysis 4.1 Enterprise introduction Hung Vuong Joint Stock Company - HVG 67

68 4. Enterprise analysis 4.1 Enterprise introduction Minh Phu Corporation - MPC 68

69 4. Enterprise analysis 4.1 Enterprise introduction Vinh Hoan Corporation - VHC 69

70 4. Enterprise analysis 4.1 Enterprise introduction Soc Trang Seafood Joint Stock Company - STAPIMEX: 70

71 4. Enterprise analysis 4.1 Enterprise introduction Viet Thang Feed Joint Stock Company - VTF 71

72 4. Enterprise analysis 4.1 Enterprise introduction An Giang Fisheries Import - Export Joint Stock Company - AGF 72

73 4. Enterprise analysis 4.1 Enterprise introduction Quoc Viet Seafood Processing and Export Company Limited 73

74 4. Enterprise analysis 4.1 Enterprise introduction Nha Trang Seafoods Joint Stock Company - F17 74

75 4. Enterprise analysis 4.1 Enterprise introduction Minh Hai Seafood Joint Stock Company 75

76 4. Enterprise analysis 4.1 Enterprise introduction Danang Seaproducts Import-Export Corporation - SPD 76

77 Contents 4. Enterprise analysis 4.1 Enterprise introduction 4.2 Business results indicators 4.3 Financial indicators 4.4 Performance indicators 77

78 4. Enterprise analysis 4.2 Business results indicators million VND Net revenue growth, Source: VIRAC 78

79 4. Enterprise analysis 4.2 Business results indicators million VND Gross profit growth, Source: VIRAC 79

80 4. Enterprise analysis 4.2 Business results indicators 80

81 4. Enterprise analysis 4.2 Business results indicators Selling expenses/net revenue, 2016 Source: VIRAC 81

82 82 4. Enterprise analysis 4.2 Business results indicators Administrative expenses/net revenue, 2016 Source: VIRAC Financial expenses/net revenue, 2016 Source: VIRAC

83 Contents 4. Enterprise analysis 4.1 Enterprise introduction 4.2 Business results indicators 4.3 Financial indicators 4.4 Performance indicators 83

84 4. Enterprise analysis 4.3 Financial indicators Accounts receivable turnover, Source: VIRAC 84

85 4. Enterprise analysis 4.3 Financial indicators HVG MPC VHC Soc Trang VTF AGF Quoc Viet Seafoods F17 Minh Hai SPD Average Current Ratio Quick Ratio Cash Ratio Source: VIRAC HVG MPC VHC Soc Trang VTF AGF Quoc Viet Seafoods F17 Minh Hai SPD Average Days in inventory Total asset turnover Fixed asset turnover Source: VIRAC 85

86 Contents 4. Enterprise analysis 4.1 Enterprise introduction 4.2 Business results indicators 4.3 Financial indicators 4.4 Performance indicators 86

87 4. Enterprise analysis 4.4 Performance indicators HVG MPC VHC Soc Trang VTF AGF Quoc Viet Seafoods F17 Minh Hai SPD Average ROA (%) ROE (%) ROS (%) Profit after tax (million VND) Debt to total asset ratio (%) Debt to equity ratio (%) Source: VIRAC 87

88 REPORT DISCLAIMER REPORT DISCLAIMER This document has been prepared in good faith on the basis of information available at the date of publication without any independent verification. VIRAC has produced this report for private circulation to professional clients only. All information and statistical data herein have been obtained from sources we believe to be reliable and made to ensure the accuracy of the contents of the pages of the report at the time of preparation. Such information has not been independently verified and VIRAC makes no representation or warranty, whether express or implied, of any kind with respect to the document and its contents, information and materials. The content found in this report is proprietary to VIRAC and is provided solely for your personal and non-commercial use. You agree that you will not use this report for any purpose that is unlawful and that you will not reproduce the report or redistribute it outside your organisation, or place it on a website for public access without the express written permission of VIRAC. SHOULD YOU NEED ANY ASSISTANCE, PLEASE CONTACT US: VIETNAM INDUSTRY RESEARCH AND CONSULTANCY (VIRAC JSC.,) 6 th Floor, Anh Minh Building, 36 Hoang Cau, O Cho Dua, Dong Da, Hanoi, Vietnam Website: viracresearch@virac.com.vn Tel:

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