Foreign importers offer less prices for local frozen food products
Tuesday, 14 October 2008
FHM Humayan Kabir
Foreign importers are offering less prices for the local frozen food products this season besides reducing the order quantity creating deep concern among the country's exporters.
Maksudur Rahman, a Chittagong-based frozen food exporter told the FE Monday that some local exporters have already been getting orders for lesser than usual quantity since early last month and the offered prices have also been reduced by 50 cents to 70 cents per pound.
"Early this year, the average per pound export prices of processed fish was over $5.0. Now it is being offered at $4.3 to $4.5 by the US and European buyers," said Rahman whose annual turnover is over $2.25 million.
"The foreign buyers are watching the global situation at this moment. Their response to import frozen food is very low," executive director of the Lockpur Fish Processing Company Ltd Khan Habibur Rahman told the FE.
"Some buyers in Russia have cancelled their contracts and some are not responding against existing contracts with us. They are mainly watching the global situation," said Habib who exports frozen fish mainly to USA, EU and Russian markets.
"We've had contracts with some Russian importers for making shipment of 30 containers of shrimp by November this year. But they have so far imported only 8 containers," said the official of the Lockpur Fish whose annual turnover is about US$28.5 million.
He said: "We have had export orders for only seven to eight containers from USA and four to five containers from EU market this season against 20-25 containers and 15-20 containers from those markets respectively a year ago."
"Another bad news is the price of the frozen food has already fallen by at least 50 cents per pound in the US and EU markets," he said.
The government has set a target of $574 million against export of frozen food products in the current fiscal 2008-09.
Last financial year, Bangladesh earned $534.07 million exporting frozen foods against the target of nearly $600 million.
Earnings of this sector, fell short of the target by 10.99 per cent in the last fiscal year, though it grew by 3.64 per cent compared to the previous fiscal 2006-07.
Foreign importers are offering less prices for the local frozen food products this season besides reducing the order quantity creating deep concern among the country's exporters.
Maksudur Rahman, a Chittagong-based frozen food exporter told the FE Monday that some local exporters have already been getting orders for lesser than usual quantity since early last month and the offered prices have also been reduced by 50 cents to 70 cents per pound.
"Early this year, the average per pound export prices of processed fish was over $5.0. Now it is being offered at $4.3 to $4.5 by the US and European buyers," said Rahman whose annual turnover is over $2.25 million.
"The foreign buyers are watching the global situation at this moment. Their response to import frozen food is very low," executive director of the Lockpur Fish Processing Company Ltd Khan Habibur Rahman told the FE.
"Some buyers in Russia have cancelled their contracts and some are not responding against existing contracts with us. They are mainly watching the global situation," said Habib who exports frozen fish mainly to USA, EU and Russian markets.
"We've had contracts with some Russian importers for making shipment of 30 containers of shrimp by November this year. But they have so far imported only 8 containers," said the official of the Lockpur Fish whose annual turnover is about US$28.5 million.
He said: "We have had export orders for only seven to eight containers from USA and four to five containers from EU market this season against 20-25 containers and 15-20 containers from those markets respectively a year ago."
"Another bad news is the price of the frozen food has already fallen by at least 50 cents per pound in the US and EU markets," he said.
The government has set a target of $574 million against export of frozen food products in the current fiscal 2008-09.
Last financial year, Bangladesh earned $534.07 million exporting frozen foods against the target of nearly $600 million.
Earnings of this sector, fell short of the target by 10.99 per cent in the last fiscal year, though it grew by 3.64 per cent compared to the previous fiscal 2006-07.