Frozen food exports may miss target
Wednesday, 26 December 2007
Doulot Akter Mala
The country's frozen foods export might fall short of target by 15 per cent in the current fiscal, as the sector failed to exploit the November-December peak-season.
The export of frozen foods fell short of target by 8.0 per cent in each of the first two quarters.
Frozen foods exporters claimed that the second largest export-earning sector would even face difficulty to earn $500 million against a target of $600 million set for fiscal 2008-09.
The exporters usually ship large quantity of shrimps and frozen foods ahead of Christmas and New Year Day.
This year, international competitors like Vietnam and Indonesia dominated the international market in the peak season supplying shrimps at a comparative price.
The exporters also blamed economic slowdown and a surge in food and fuel prices in the international market for the downward trend of shrimp export.
Exporters feared a significant shortfall in export target in the current fiscal as the peak season passed off without much shipment to the United States and the European Union (EU).
Bangladesh Frozen Foods Exporters Association (BFFEA) president Kazi Belayet Hossain said: "The sector needs more interest-free loans and block allocation to recoup the losses sustained due to lower export in the first two quarters of the current fiscal."
Prices of such food products have dropped by $1.0 per pound due to economic slowdown in major buying countries, he said.
Expressing his hope over a rise in demand during January-March period he said: "We could supply the products during the period as our competitors might not be able to cultivate shrimps at that time for unfavourable weather."
In July-September period, the sector earned US$ 141.77 million against the target of $154 million. It was $153 million in the corresponding period of previous fiscal.
The export of shrimp was worth $515 million in fiscal 2006-07, $403.58 million in 2005-06, $ 365.82 million in 2004-05 and $ 362.87 million in 2003-04.
Earlier, the EU was the main export-destination for Bangladesh's shrimp, the second largest foreign exchange earner after the readymade garment sector.
During the last two months export of the country's frozen foods to the US market has dropped by nearly 60 per cent as exporters are facing stiff competition from international suppliers like Vietnam, Thailand and Indonesia.
However, the earning from shrimp export to the United States increased by 64.95 per cent in the period between 2001 and 2006.
From fiscal 2001-02 the export of the product to the US market increased due to product diversification and anti-dumping duty on other leading exporting countries by the US government.
The country's frozen foods export might fall short of target by 15 per cent in the current fiscal, as the sector failed to exploit the November-December peak-season.
The export of frozen foods fell short of target by 8.0 per cent in each of the first two quarters.
Frozen foods exporters claimed that the second largest export-earning sector would even face difficulty to earn $500 million against a target of $600 million set for fiscal 2008-09.
The exporters usually ship large quantity of shrimps and frozen foods ahead of Christmas and New Year Day.
This year, international competitors like Vietnam and Indonesia dominated the international market in the peak season supplying shrimps at a comparative price.
The exporters also blamed economic slowdown and a surge in food and fuel prices in the international market for the downward trend of shrimp export.
Exporters feared a significant shortfall in export target in the current fiscal as the peak season passed off without much shipment to the United States and the European Union (EU).
Bangladesh Frozen Foods Exporters Association (BFFEA) president Kazi Belayet Hossain said: "The sector needs more interest-free loans and block allocation to recoup the losses sustained due to lower export in the first two quarters of the current fiscal."
Prices of such food products have dropped by $1.0 per pound due to economic slowdown in major buying countries, he said.
Expressing his hope over a rise in demand during January-March period he said: "We could supply the products during the period as our competitors might not be able to cultivate shrimps at that time for unfavourable weather."
In July-September period, the sector earned US$ 141.77 million against the target of $154 million. It was $153 million in the corresponding period of previous fiscal.
The export of shrimp was worth $515 million in fiscal 2006-07, $403.58 million in 2005-06, $ 365.82 million in 2004-05 and $ 362.87 million in 2003-04.
Earlier, the EU was the main export-destination for Bangladesh's shrimp, the second largest foreign exchange earner after the readymade garment sector.
During the last two months export of the country's frozen foods to the US market has dropped by nearly 60 per cent as exporters are facing stiff competition from international suppliers like Vietnam, Thailand and Indonesia.
However, the earning from shrimp export to the United States increased by 64.95 per cent in the period between 2001 and 2006.
From fiscal 2001-02 the export of the product to the US market increased due to product diversification and anti-dumping duty on other leading exporting countries by the US government.