--- A very serious typhoon hit Southern China and vietnam last week.

Typhoon Rammasun hit Hainin island, causing considerable damage to major cities like Wenchang and Haikou.

This will have a major effect on the farming and production of Tilapia and Pangasius (Swai) in these areas. The impact of this will definitely cause an increase in pricing for these products, and we are hearing that mortality of the fish in ponds could be as high as 40 percent.

Typhoons often hit South East Asia in July and August, driving Tilapia prices up, but this storm is considerably worse than usual, and has been described as the strongest to hit China's southern region in 41 years.

We will keep you updated as we hear more about Typhoon Rammasun.

--- The salmon market in China is unsteady as international trade sanctions in Russia heighten.

Chinese processors would like to source the fish from Russia, but are concerned that most Russian fish will be sold domestically because of Russian conflict with the Ukraine, USA, and the EU.

Processors are also cautious to purchase Hokkaido salmon because of their strong domestic market where prices are always higher than Alaskan fish.

After Fukushima occured, Hokkaido boats were unable to export their fish and it forced the development of a domestic market.

Consumers are even accepting Hokkaido Pink salmon, which they were not used to taking before the earthquake. With limited raw materials left in China, the demand for Alaskan salmon is higher than expected.

Lower catch stats of only 5.6 million chum add more pressure, and the market is getting stronger all the time as a result.

$1.75/lb China for DGMC Chums is reported as the latest purchase price, up approximately 30 to 40 cents per lb from last year.

This will impact finished goods and the overall market for sure.

 

---Thanks for joining me for the Tradex Foods "3-Minute Market Insight" This is Rob Reierson - “BUY SMART” and “EAT MORE SEAFOOD”

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