Control of catfish exports to China

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	China overtakes the US as the largest import market for catfish from Vietnam

Processing catfish for expor

Excessive export geography According to the statement and assessment of Vietnam Association of Seafood Exporters and Producers (VASEP) and exporters of catfish to China, in the next two years China will continue to be a potentially large neighboring market for Vietnam’s catfish exporters, because of China’s huge consumption demand and importing many types of catfish products with different prices. With the advantage of geographical position, ease of transportation is also an advantage for the fish export enterprises to this market. This is a big market with growth potential, but not really stable. Catfish exports to China have continued to grow, but the reality is that businesses (and individuals) sell their product to this market in old and backward ways, lacking market demand survey to be able to both control the price and ensure sufficient quantity for consumption. From 2015 to 2018, export of catfish to China - Hong Kong market has grown continuously from 30 - 88%. In particular, for 2 years (2016-2017), exporting catfish to this market really grew "hot". In the first 10 months of this year, catfish exports to China continued to grow at a rate of USD 437.9 million, up 30.6% over the same period last year. At present, 83.47% of catfish are exported by road through Lang Son border gate; 15.6% through Quang Ninh border gate, the rest through Dien Bien border gate, Cao Bang. However, at present, there are some difficulties in exporting catfish to this market due to some regulations of China. In particular, the strict implementation after the General Department of Customs of China took over the testing and quarantine, has also been affecting the seafood export enterprises in Vietnam. Specifically, the regulation of phosphate residue in catfish, currently regulated by the European chemical air cargo limit of not exceeding 4%. However, the Chinese inspection of catfish products in Vietnam has identified products with residues, not up to the standards of their country. Particularly, with the increase of catfish export to the market, China has begun to tighten security issues for this item. Since March 2018, China has reformed the structure of several ministries, functions of quarantine testing under the General Administration of Supervision, Inspection and Quarantine of China, which has been transferred to the General Administration of Customs of China. The Chinese border Customs (especially the border areas with Lang Son) have strengthened the supervision and strict implementation of the regulations of China for import and export activities in the form of exchange border trade and trading in border markets, as well as the application of a tax exemption policy of 8,000 yuan / person / day for goods traded through border residents for some items including catfish and seafood. According to the seafood export enterprises, such control is not fair to the import products by sea (sea route). China does not control the quality of imported goods along the border. Meanwhile, cross border trade does not have to pay the 17% VAT, so the competitiveness of the price is very large compared to imported products through the sea. To strictly control aquatic products for temporary import for re-export Along with that, the policy of temporary import for re-export (TNTX) allows Chinese enterprises to buy imported seafood materials (from abroad) into Hai Phong port. Then transporting to China along the border according to the policy of border crossing for import tax, thereby turning it into the source of shrimp and fish export to China, USA, Japan, EU. The additional registration of Vietnam's export products that is still lacking in "List of approved products imported into China" is still difficult. Although the National Agro-Forestry-Fisheries Quality Assurance Department has repeatedly sent letters to the Chinese side to request not to apply the regulations on registration of imported fishery products for Vietnamese seafood enterprises. At the same time, the Department proposed that the two sides meet to discuss the matter, but China refused to meet and did not respond to requests of not applying registration regulations for imported products.

Recently, VASEP has made a number of recommendations, which recommend that MARD reviews the application of quality management by issuing and verifying quality certificates before exporting to China. It is possible to be experimented before 3 months.

US raises anti-dumping duties on Vietnam’s frozen catfish fillets

Recommended MARD to propose the Ministry of Industry and Trade to evaluate and recommend to the Government to adjust the policy for better control of temporary import for re-export, to limit the negative impacts on Vietnam’s export production. At the same time, VASEP suggested that MARD take more stringent measures to control the export of catfish and fishery products through the borderline, especially the auxiliary border gates and opening ways - including trade and exchange of catfish breeds cross border; Promote exchange activities and send letters to the Chinese side to ask for permission to add products that Vietnamese enterprises wish to export into the "List of approving products imported into China."