Where is the shrimp super-forcaster?
Prices have been at historic year lows but went even lower because Ecuador could – for a short term.
The Dutch intelligence reporting on the global shrimp trade chose not to understand what they were told – where Ecuador’s shrimp prices go so follows the rest of the world.
Brilliantly a rapid move to a short term low price market offering by Ecuador – partially on the back of China trade slow downs led to alarm bells coming out of Holland – where India gets a lot of its EU trade data. This resulted in the throttling back on stocking and thus a supply shift.
Ecuador, the cradle of the vannamei industry, has always been the place to go for sustainable and responsible supply.
While Dutch health looked East in came coronavirus to add woe to misery…….stoking fear along its path…….and it is not why Telson went bankrupt either. Telson’s was a technology play that did not work out.
Anyway not much new here – the News media, EU shrimp trade intelligence and investment bank analysts plainly all over the place on shrimp trade trends, reporting and forecasting. Since 2019 I may add.
Interesting to note that Undercurrent News mentions Ecuadorian businesses may go bankrupt – but there is no specific mention of shrimp companies – can that be clarified I wonder. Are there hectares available to purchase?
To explain a bit more the technology there is a built in buffer in the Ecuadorian shrimp industry design. To close down a semi-intensive open pond operation for dry out – sterilization – SOP’s – it is all part of the sustainability of the industry. Farms can do 3 months downtime if need be. Tighten belts, harvest ponds. Has been done before.
Then, just like nurseries but at other end of the pipeline there is plenty of freezing capability, cold-storage capabilities and logistics embedded into Ecuadorian industry. Has been done before.
……….it is business continuity after all……..there is even an ISO 22301.
Prawnmaster was part of the team that was awarded BS25999 now ISO 22301 – at the first food company in the world to get accreditation. Business continuity is apart from the the integrity and responsibility side of the business (for all those CB’s out there) – it is good sustainable management policies – to cushion any blow.
At the same time Prawnmaster was developing the foundational standards for the GAA’s BAP certifications moving downstream from farms and hatcheries and in to processing facilities. This of course was a continued development of NASA’s USFDA HACCP program which was first developed in Ecuador with shrimp – even before it became US law.