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Cultured Shrimp
Exportation
Carpio, Camille
Decal, Densil
Pantanilla, Gian
Tan, Sarah
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Asia and Latin America seized the opportunity in thisindustry due to climate and natural resourcessuitable for shrimp farming.
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Thailand is considered to
be the top exporter in the
world when it comes to
cultured shrimp.
With this, we will discuss
why shrimp exports in
Thailand is successful.
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The shrimp industryis Thailands
biggest revenue
earner in thefishery category
Thai shrimp exports
account for 75% ofits total production.
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Site selectionand pond
design
Stocking of
Juveniles
FeedingWater Quality
Management
HarvestingProcessing
andMarketing
Shrimp Production
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Costs of Shrimp Cultivation
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Benefits of Shrimp Cultivation
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Shrimp Trading Partners
Primary ShrimpMarket : Japan andUSA
Secondary ShrimpMarket: Singapore,Canada, China,
Australia, the EU, andTaiwan
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Top importer of
shrimps from Thailandwith 50% of its
exports.
US also produces shrimps but itscheaper to import processed
shrimps from Thailand.
They regard Thaishrimp as a high-value, high-price
shrimp.
The United States
They prefer it over
others since it ischeaper and has
firm meat.
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Thai shrimp market share in theUS, 2002
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Japan
Japan imports approximately 90% of itsdemand while less than 10 percent issupplied by its local production.
However, with the economicslowdown in 1996, Japanese importerslooked to trade with lower-pricedfrozen shrimp suppliers.
Since Thailand has high minimum wage
rate, shrimp was expensive. Hence,Ja an shifted to other countries.
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Thai frozen shrimp market sharein Japan, 19982002
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Japan With the continuing dropin shrimp price and stiffcompetition in the frozenshrimp category, Thai
processors diversified tovalue-added production.
These products includebreaded tempura andsushi boiled shrimp.
Shifting toprepared/preservedshrimp products ahead ofits rivals provided Thailanda lead over its competitors
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Value of shrimp exports toJapan, 1993-2002 (US$ million)
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Thai prepared/preserved marketshare in Japan, 19982002
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The European Union
The EU was the fourth largestmarket for Thai shrimp in 1995,but Thailand lost itscompetitiveness in that marketwhen it was dropped from the EUlist of countries under the EUsGeneralized System ofPreferences (GSP) in 1996.
The tariff for Thailand frozenshrimp jumped from 4.5 percentto 14.5 percent, and the rate forthe prepared/preserved shrimp,from 6 percent to 20 percent.
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Thailands shrimp exports to the
EU, 19932002
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Thailands Competition
It can be seen thatThailand has other rivalswhen it comes to theshrimp industry
Thailands competition in
the US market are:Mexico, Ecuador, China,Vietnam, and India
As for Japan: Indonesia,India, Vietnam and China
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Revealed Comparative Advantage(RCA) in Shrimp Industry
RCAij > 1 ; the country reveals a comparativeadvantage in the trade of shrimp product i
RCAij < 1 ; the country reveals acomparativedis advantage in the trade ofshrimp product i
RCAij = 1; the country reveals a comparativeneutrality in the trade of shrimp product i
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Results in RCA
The results of RCAduring 1991 - 1999showed that the Thai
frozen shrimp had acomparativeadvantage inexporting into the US
market, while lost itsin the Japan marketduring 1994 - 1998.
Black Tiger Prawns
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Trade Policies
Imposed 100% testing Restricted exports from Vietnam and China
Zero TolerancePolicy
Lost its preferential trade status (1997) Shifted shrimp exports from EU to USMost favorednation tariff
6 developing countries Improve the competitiveness of US shrimpers
Anti-DumpingPolicy
Import notification form Inspected for the residuals of antibiotics
Food SanitationLaw
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Conclusion
Ricardian Model Specialization in
shrimp industry
Gravity Model
gargantuan nationstill has Thailandas the major
trading partner