Developing an Agricultural Research
and Development Priority
Framework
for Vietnam
Fisheries Sub-Sector Workshop
Data and Information Sheets:
Areas of Research & Development
Opportunity (ARDOs)
ARDO 1:
ARDO 2:
ARDO 3:
ARDO 4:
ARDO 5:
ARDO 6:
ARDO 7:
ARDO 8:
ARDO 9:
Marine Finfish
Cold Water Fish
Crustaceans
Mollusks
Fresh Water Fish
Post Harvest, Processing & Value Adding
Extraction of Bio-Active Compounds
Resource Management & Conservation
Mechanisation
December 2006
1
ARDO 1:
MARINE FINFISH
1
ARDO DEFINITION
1.1.
National Goal:
To increase the scale of sustainable production and quality of marine finfish, including
the development of reliable seed stock and fingerling supplies and high value fish.
The MOFI target for 2010 is 300,000 tons of marine finfish with a market value of
US$4 billion.
1.2.
Research Scope:
Research to improve selection of appropriate species for local conditions and to improve
brood stock culture, larval and fingerling rearing systems. Research in the development
and application of natural feeds for larvae and nursery culture and the reduction of trash
fish feeding systems through the use of compound feeds for the grow out phase.
Development of sustainable production systems including prevention, management and
control of disease, and identification and mitigation of environmental impacts.
1.3.
Coverage:
Main species include: grouper, cobia, Red sea bream, and sea bass.
2.
INDUSTRY STATISTICS
2.1
Introduction
Vietnam has 3260km of coastline extending from the North to the South and ideal
natural conditions for the development of marine aquaculture. Marine finfish
aquaculture has developed in the last few decades. Grouper was introduced in the
1980s in the northern of Vietnam and since then has been widely cultured throughout
the whole country. Other species, such as cobia, sea bass, Red sea bream, milkfish and
pompano are cultured sea cage systems and inland earthen ponds.
To date, marine aquaculture is not a well developed industry. It is small scale, depends
on natural seed collection and the use trash fish feeds. Limited research has been
undertaken with variable results. Survival rates of larvae remain low and most
fingerlings either come from the wild or from imports from China. Similarly, cobia
propagation is still unstable and need to be improved.
Marine finfish aquaculture is a new industry that has a big potential, opportunities to
exploit such as natural conditions and potential for high demand in domestic and
international markets.
2.2.
Industry Characteristics and Prospects
Growing Areas and Yields
In general, marine finfish aquaculture such as culture of grouper and cobia is
dominated by sea cage systems that are applied in Hai Phong, Quang Ninh, Nam
Dinh, Thanh Hoa, Nghe An, Ha Tinh, Quang Binh, Quang Tri, Phu Yen, Khanh Hoa,
and Vung Tau provinces.
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Production
Marine finfish is a new industry in Vietnam. There is little information or statistics
on production available.
Some information on the number of cages e.g. Hai Phong about 8000 cages and in
Quang Ninh. About 4000 cages sea cages.
Value and Markets
Grouper is a high value species in national and international markets. For example,
spotted grouper is the lowest price of among other grouper, but the price is
approximately of 10USD. Other marine finfish such as cobia, sea bass, and Red sea
bream have lower value, average of 3-4USD/kg.
The price of grouper varies depending on the demand from the local and
international market.
Table 1. Price of orange spotted grouper in Quangninh and Haiphong, 2006
(USD/kg)
Month
January
February
March
April
May
June
Fish size (kg)
0.5 – 2
2–4
0.5 – 2
2–4
0.5 – 2
2–4
0.5 – 2
2–4
0.5 – 2
2–4
0.5 – 2
2–4
Average
Quang Ninh (USD/kg)
11.39
10.13
10.76
9.49
11.39
9.49
10.76
6.96
10.13
6.33
13.92
10.13
10.07
Hai Phong (USD/kg)
12.03
10.44
12.03
10.44
12.03
10.13
11.39
7.59
11.39
7.59
15.19
11.39
10.97
Table 2. Price of some Grouper species in Hong Kong, China 2006
English name
Humpback grouper
Leopard coral grouper
Red grouper
Tiger grouper
Giant grouper
Duskytail grouper
Orange-spotted grouper
China (USD/kg)
Hong Kong (USD/kg)
75.00
60.28
30.00
13.33
15.92
12.50
9.06
70.00
43.74
39.58
15.64
15.00
12.00
10.30
Currently the domestic price of orange spotted grouper is higher than China and
Hong Kong market but with the development of grouper aquaculture industry, the
demand for grouper product in domestic is becoming lower than supply
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Development of export markets is necessary for the survival of the grouper and
marine finfish industry. Currently, the main market for grouper and cobia are China,
Hong Kong Taiwan and Singapore.
Comparative Advantage
Long coastline, appropriate for sea farming operations.
Young population and comparatively low labour cost is another advantage for the
development of this industry.
Major disadvantage is high cost of imported feed and ability to provide sufficient
locally produced seed stock.
Membership of WTO will provide opportunities to export but is likely to have some
comparative disadvantage to industry development as import tax and trade barriers
for imports are likely to be reduced.
Government Policies
Name and contents of regulations
o
Decision N 112/2004/QD-TTG National fisheries and
aquaculture development program from now to 2010 and
the direction for 2015
Decision No 154/2006/QD-TTG National administration
on drugs and chemicals and food safety condition in
aquaculture from 2006 to 2010.
Decision No 03/2005/CT-BTS Control the chemical and
drug residuals in aquaculture.
Decision No 07/2005/QĐ Amendment on list of banned
chemicals and drugs in aquaculture.
Veterinary ordinance amendment in 2005 The content of
new amendment is similar to previous edition with 6
chapters and 71 articles.
Veterinary ordinance
Publisher
Date of issue
Approved by Prime 11/1/2006
Minister of Vietnam
Approved by Prime 30/6/2006
Minister of Vietnam
MOFI
3/7/2005
MOFI
2/24/2005
National
Assembly 2005
Publishing House
Ministry of Agriculture 2004
and Rural Development
o
Decision N 112/2004/QD-TTG The national fisheries Approved by Prime 2004
program to 2010
Minister of Vietnam
National standard No TCVN 6986: 2001 Water quality MOFI
2004
standards for industrial effluent discharged into coastal
waters for the purpose of the aquatic animal life
protection.
Sector standard No 28 TCN 192: 2004 Cage culture area MOFI
2004
-Conditions for food safety.
National
Assembly 12/10/2003
Fisheries law
Publishing House
Decision No 01/2002/QĐ-BTS List of banned chemicals MOFI
2002
and drugs in aquaculture.
National standard No TCVN 6984: 2001 Water quality National standard
2001
standards for industrial effluent discharged into coastal
waters for the purpose of the aquatic animal life
protection.
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Name and contents of regulations
o
Decision N 224/1999/QD The aquaculture development
program from 1999 to 2010
Decision No 103/2000/QD-TTG National policies on
fisheries propagation
3.
Date of issue
Approved by Prime 2000
minister of Vietnam
Approved by Prime 2000
Minister of Vietnam
Industry Analysis
3.1.
Publisher
Structure
Households and Size of Holdings
Grouper and cobia culture systems implement traditional small scale culture methods
based on bamboo cages, wooden cages. Square or reticular cages are of 20 to 50
cubic meters. Advantages of these systems are low installation cost, easy to manage
and appropriate for small farms. For example, the price of a wooden cage of 100m³
in catba is about 2,000 USD. This type of culture system is suitable for lagoons
where there is little impact from big waves and strong winds. Return on capital
investment is relatively short and may take 2-3 years to reach the break even point
depending on the experience of farm owner and the investment capacity.
Recently, some commercial farmers have adopted a Norwegian production model
using a circular cage with a larger volume (500-750m3). There are some private and
international companies invest to grow some marine species including grouper, cobia
pompano, and pearl in the coastal areas or offshore areas. The operational cost of
these companies is not yet documented, so there is no information about the time to
reach breakeven point.
Because of white spot disease in shrimp farming, many shrimp farmers are shifting
into marine finfish culture. Species cultured in shrimp ponds include sea bass, Red
sea bream and milkfish.
3.2
Supporting Infrastructure
There is no commercial pellet feed for marine finfish available at the moment, so
farmers still use trash fish.
No marine finfish processing manufacture available yet. Therefore, the trading of
marine aquaculture product is dominated by private company or traders.
3.3.
Markets
Currently the domestic market for marine finfish aquaculture products is mainly in
restaurants, hotels and tourist areas. The domestic market is expected to grow
considerably as supply increases, per capita income increases and market prices
decrease.
The main export markets are China and Hong Kong, with smaller volumes to Taiwan
and Singapore. The volume of exports is small and most exports are live fish carried
by private companies.
3.4.
Future Trends and Key Market Issues
Asian economy is rapidly growing and demand for grouper and other marine
commodities will increase, especially in the China market. There are some
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advantages for Vietnamese grouper aquaculture as this market is close and transport
costs are low. Japan is another potential market for marine finfish product is Japan.
Foreign investment in marine finfish product is developing with Russian and
Norwegian finance for marine farms in central Vietnam. The product of these
companies will be directly exported to Russian market.
Membership of WTO will create additional opportunities to access international
market.
It is estimated that demand for grouper in the domestic and international market will
be about 15,000 tons per year in next few years. The value of these markets is
estimated to be US$90 million.
With the development of national economy and increases in the number of wealthy
people the local market for marine finfish is likely to grow, particularly for grouper
species. In the short term is likely that most production increases will lead toward
development of the local market through farmers directly selling to local restaurants
and to middleman, who will transfer live marine finfish product to big cities.
4.
R&D Information
4.1.
Main Research Areas
Marine finfish propagation
Grouper and cobia brood stock culture technique
Grouper and cobia seed spawning and fertilization
Natural food production for groupers and cobia larvae rearing
Grouper and cobia fingerling culture techniques
Red sea bream spawning and fertilization
Red sea bream nursery techniques
Grow out culture technique
Sea cage design, produce and practice management
Sea cage aquaculture techniques
Pellet compounds for grow out phase of marine finfish aquaculture
Marine finfish culture techniques in earthen pond and inland farming systems
Environmental practices management in marine finfish culture in earthen ponds and
in the sea cages farming
Nutrient
Artificial feed production for marine finfish larvae nursery
Natural feed production for marine finfish larvae nursery
Essential nutrients component requirement in larvae stages
Nutrients requirement of marine finfish species at grow out stage
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Marine finfish diseases prevention and control
Research on microbial diseases in marine finfish including disease cause by
parasites, protozoan, fungi, bacteria, and viruses
Studying the diseases prevention and controlling method base on:
Brood stock and fingerling screening
Better management practices in sea cages farming and earthen pond system
Vaccine development and vaccination to prevent bacterial infections and viral
diseases especially VNN infection in groupers, sea bass, cobia and other comedies
species.
Application of herb extract to control diseases in sea farm
4.2.
Major Research Providers
Ministry of Fisheries
Research institute for aquaculture No1
Research institute for aquaculture No2
Research institute for aquaculture No3
Research institute for marine fisheries
Universities
Nha trang fisheries university
Fisheries research institute of Cantho university
Fisheries faculty of agriculture and forestry of Hochiminh university
Fisheries faculty of Hanoi agriculture No1 University
Fisheries faculty of Thainguyen University
Fisheries colleges No 4
4.3.
Funding
Estimated total funding for marine finfish research in 2005 is 246,667.00 USD. The
government fund was 130,000.00 USD and 116.667.00 USD from international
projects including NORAD and DANIDA. There is no data on provinces and private
company funding for marine finfish aquaculture study.
4.4.
Major Achievements to Date
Some research on reproduction of grouper, cobia, sea bass and Red sea bream. For
example, the project on grouper seed production funded by Vietnamese government
was carried out from 2002 to 2005.
The national marine seed production center, sub-institute for marine aquaculture in
the northern center of Vietnam, the marine seed production center in the south of
Vietnam can produce some groupers fingerling, cobia, sea bass, milkfish, and Red
sea bream.
Tradition marine sea cage farming operation and practices
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Report on some common diseases of grouper and cobia in sea cage farming.
5
SWOT Analysis
Strengths
Environment and natural resources are
appropriate for marine finfish aquaculture
development.
Potential for large increases in domestic
and export markets
Close to potential high value export
markets
Long history of aquaculture activities, so
farmers have experience in fish culture
Relatively good human resource skills in
aquaculture in general and marine
aquaculture sector.
Low labour cost likely to increase
competitiveness for marine
finfish
aquaculture industry.
Useful as an alternative production option
for disease affected shrimp ponds
Some large scale investment in marine
aquaculture now occurring
The support from government and other
agencies is also a creative advantages for
this industry
Weakness
Opportunities
Improvement in income will provide
opportunities to expand the domestic
market for marine finfish aquaculture
products.
To be a member of WTO is another
opportunity to export products of this
industry to the larger market.
Adaptation new techniques into marine
finfish aquaculture.
Encourage more smaller scale and more
private and international companies to
invest in marine finfish aquaculture
Development of technical expertise on
propagation,
nursery,
and
culture
techniques.
Development of production systems that
are efficient and produce marine finfish
products that met international standards
for food safety
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Marine finfish aquaculture is a new
industry so development of new knowledge
and research could be a challenge for
sustainable development.
To date most of the production is small
scale using traditional wild seed collection
and trash fish feeding systems
Lack of national strategies, planning and
development for marine finfish aquaculture
may adversely affect the development of
this industry.
No local commercial production of pellet
feed compounds
Poor infrastructure for product processing
Relative high cost of entry into commercial
scale fisheries and lack of funding may
delay development of marine finfish
aquaculture industry.
Relatively poorly developed technologies
in culture, propagation, pellet feed,
processing, environment and disease
management.
Threats
Wild catch of grouper fingerlings may
cause depletion of natural resources with
adverse impacts on the marine ecosystem.
Natural disaster is another threat for marine
finfish aquaculture industry.
Adoption of high stocking, more intensive
and larger sea farming size, diseases and
waste pollution may directly impact on
sustainable development.
Membership of WTO is likely to reduce
import tax for competitor countries and
lower cost imports may impact on industry
development and competitiveness.
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ARDO 2:
Cold Water Fish
1. ARDO DEFINITION
1.1.
National Goal:
To diversify freshwater species to increase the value of freshwater aquaculture and to
meet the demand of domestic and international markets
1.2.
Research Scope:
Research on hatchery technology and grow out in different farming systems.
Development of suitable feeds and feeding systems, disease management and control
and assessment of environment impacts on and of aquaculture and food safety.
1.3.
Coverage:
Samonoidae family includes Oncorhinchus mykiss, white fish. This fish is family
Coregonidae and scientific name is Coregonus lavaretus
Acipensidae family including Acipenser baerri, A. ruthenus
2.
INDUSTRY STATISTICS
2.1
Introduction
Presently, among the freshwater fish species, there are a few low value species which
are produced in large volume to meet the domestic and international markets such as
tilapia, tra and basa catfish. The group of species having high value in the markets does
not exist in aquaculture practice in Vietnam. Recent information indicates that in 2004,
Vietnam imported 500 tons of Atlantic salmon from Norway. During the first half of
2005, import volume has increased 150%, and it is predicted that import volume by the
end of 2005 will reach to 1500 tons. A part of the import fish products meets the
domestic consumption and a part is sued for processing and re-exporting to other
international market. From the above information it may conclude that the culture of
the low value species is sufficient but high value species are practically in shortage and
due to increase of the domestic demand, the import of these fish products is required.
Trout and sturgeon are considered as alternative option for aquaculture of the tropical
species in the North Vietnam during the winter period, when temperature of water is not
suitable for grow out of the tropical fishes. Thus these fish species are quite attractive
for many farmers in the North.
2.2.
Industry Characteristics and Prospects
Growing Areas and Yields
The condition for culture of the cold species is the limitation of water temperature
which should be lower than 240C for at least 4 months of the year. With this condition,
in the North during the period of late autumn to beginning spring, some water bodies
(ponds, reservoirs, rivers, and springs) can be used for culture of these species. In
Northern mountain provinces and central plateau, most of water bodies at the attitude
above 1000m are available for culture of these species around year.
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Production
In 2005, only 1500m2 of the pond was used for growing out rainbow trout and
250m3 of cages and tanks were used for culture of the sturgeon.
In 2006, 3.4 hectares of the pond (1 ha in Lam dong province, 1,5 ha in Lao cai, 0.5
ha in Lai chau, 0.2 ha in Ha giang, 0.2 ha in Cao bang) were constructed for trout
culture
Three farms used circulation systems in Hai duong, and other 1000m3 of the cages
were installed for sturgeon culture in Yen bai and Lam dong provinces
In 2005 the fist production of rainbow trout was about 12 tons while sturgeon was
only 3.0 tons.
In 2006 it is expected that the volume of trout could be reached to 100-120tons and
sturgeon may achieve 12-14 tons.
Grow rate of the production of these fish is expected to be doubled each year within
5 years coming then remain 20-30% per year in the period from 2011-2015.
Value and Markets
In 2005 value (farm gate value) of trout was VND1,400 - 1,500 million and sturgeon
was VND600 million.
In 2006 it is expected that value of trout will reach to VND14,000 million (US$
900,000) and sturgeon will reach to VND2,4 million (US$150,000).
The markets of these fish are domestic. The farm gate price of trout is about
VND120.000/kg, of sturgeon is VND200-220.000/kg.
The market price of trout range is VND170-180,000/kg, while the price range of
sturgeon could be ranged from VND250-270,000/kg.
With the expectation of the produced volume of rainbow trout, the import of the
valuable fish for high market will be reduced 30-35%, while an amount of 100-150
tons of fresh fish could be exported to neighboring countries in the future.
Export of sturgeon is not expected,
500 tons of sturgeon meat hopefully does not create any problem for domestic
market as sale price of fish is just as eel and grouper price.
Comparative Advantage
Apart from cost of labour, Vietnam is unlikely to have any comparative advantage
for export of trout and sturgeon fish.
Maturation of brooders will open the possibility of production of caviar which may
be competitive in European market due its cheaper production cost and earlier in
maturation.
Main benefits will come from partial import substitution and high value fish will be
very competitive in terms of returns for farmers and in providing a diversity of fish in
domestic markets.
Government Policies
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The ministry of Fisheries through extension and research channels for the last two
years has offered to RIA 1 projects on “transfer of seed production technology of two
these species” and “assessment of cold water resource in the northern mountain area
for planning cold aquaculture in the future”.
The provinces having good potential for cold aquaculture such as Lao cai, Lai chau,
Yen bai, Lam dong and others have developed good policies in extension to support
culture of these species through building a demonstration farms (providing 40% of
seed input and 20% of feed input for demonstrators).
The Ministry of Fisheries is also promoting commercial aquaculture of the cold
species in reservoirs in the northern mountain provinces as well as in central plateau
in order to increase trade value for freshwater fish species and value of commercial
production in the reservoirs.
3.
Industry Analysis
3.1.
Structure
Households and Size of Holdings
Production of the cold fish species is mainly by private companies and cooperatives
that have the financial capacity for investment in infrastructure, technology
development and operation costs.
It is estimated that during the period 2006-2010, 85 % of total volume of production
will be produced by the companies and 15 % will be produced by the cooperative
and individual families.
The size of the companies is ranging from 2-5 ha, with production capacity of 100200 tons while the size of family scale is 1000-5000m2 with the production capacity
of 10-20tons.
For a 2 ha operation, cost of construction is about VND450 million (US$30,000),
Annual production expected is 100 tons. Return expected is US750,000 with annual
production costs of around US375,000 and a net profit of approximately US$375,000
(VND6 billion) or US 187,500 per ha.
For a smaller scale production unit of 2000m² construction cost is VND100 million.
Returns for 4 ton annual production is VND4.8 billion and net return is about
VND1.2 billion per year.
The net profit from trout is about VND50,000 – 60,000 per kg of fish after 12 – 14
months.
3.2
Supporting Infrastructure
The government has funded for construction of the research center for cold fish
species considering as the primary infrastructure for promotion of cold aquaculture
development.
Government will also support for building infrastructure of the project which could
produce about 500 tons of fish (10 ha and above). It is expected that in the five years
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coming there will be 4-5 intensive infrastructure sites will be built in the potential
areas.
Some processing factories in different provinces mainly in the north will be involved
in processing of filet and smoked products.
3.3
Markets
The main markets are domestic. Since, these fish species are highly valuable, their
products will be sold in mainly supermarkets and restaurants.
A part of the produced production will be exported to other neighbor countries in
South-East Asia.
3.4
Future Trends and Key Market Issues
The grow rate of the production of the cold fish species will be high and within 5
years coming it is expected that 1000-1200 tons of rainbow trout and 250-300 tons of
sturgeon will be available for the markets.
During this period, the first generation of fry of trout will be produced in Vietnam
and the brood stock of sturgeon will be matured.
The success of caviar production could be created a new export market to developed
countries.
The key issue is how to expand the market accordance with the growth of the
production. Appropriate development planning has to be based on the market
expansion.
4.
Research and Development Information
4.1
Main Research Areas
Seed production
Farming systems
Nutrition and feeds
Diseases and environmental monitoring
Environmental impacts of the introduced species
Markets and products
4.2
Major Research Providers
RIA 1 and 3. The National Extension Center and provincial extension centers
4.3.
Funding
The main financial resources for development are coming from the private sector
Government allocation for research and resource from the programme 224, 112.
For the last three years, MOFI has allocated VND 2.6 billion for research and cold
water resource assessment.
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In coming 3-5 years, it is expected that an amount of VND 5-6 billion will be
allocated for the research on farming systems, feeds, disease, seed production,
processing techniques.
An amount of VND5-6 billion will be allocated for dissemination of the research
results to users
4.4.
Major Achievements to Date
Import of fertilized eggs of the rainbow trout from Finland (the country has
temperature much lower than in Vietnam) has been carried out for the last two years.
The quality of eggs was very good, hatching rate was achieved 96-98%, and survival
rate of larvae to fry was around 90%. The primary survey on development of gonad
showed that within a year, some females already are reaching maturation stage. It
means that, the possibility of formulation of brood stock in Vietnam is basically
proven.
The first experiment on hatching sturgeon eggs and nursing fry and fingerlings were
successful. The trial on culture of Siberian sturgeon in cold water resources, in Thac
ba reservoir and in recirculation in Hai duong has been carried out. Growth rate of
those fish in Sapa is much slower than in cages in Thac ba reservoir and recirculation
system in Hai duong.
5.
SWOT Analysis
Strengths
High market value species
Domestic market likely to exceed supply for
many years
Great potential in many mountain areas in
Vietnam, where tropical species grow slowly
Potential for industrial aquaculture with high
productivity
Fast growth
Less pollution due to efficient use of feed
No disease occurred as yet
Private sector interested in investments
Government support policies
Weaknesses
Opportunities
Domestic and international (south-east Asia )
markets
Restructure freshwater aquaculture species to
produce high value products
Development of quality local seed supply
Further development of large scale culture
systems including nursery and grow out
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Lack of knowledge and aquaculture
experience about these species
Supply of seed and quality feed depends on
imports
Lower production costs in western countries
for the similar products
Farm sites are in the most remote areas
where it is difficult to access to public
services (transport, communications etc.)
Lack of HR and qualified trained people
No technology approaches for processing
products
High investment and high technology are
required
Requirement of strict environmental
conditions: low temperature, clean water
Threats
Alien species causing impacts on
biodiversity
Disease associated with intensive large scale
production
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Better use of water resources, cool weather
and turn disadvantages into advantage
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ARDO 3: Crustaceans
1.
ARDO DEFINITION
1.1.
National Goal:
To expand and diversify rearing methods and to improve the competitiveness, product
quality, food sanitation and safety (HAACP) of crustacean production for species of
major economic importance.
The Government target for aquaculture in 2010 is 2 million tons of yield, over US$2.5
billion in exportable value, providing employment and income for about 2 million
people. The target is for crustaceans to contribute to 60% of the total value of aquatic
products.
1.2.
Research Scope:
Research to improve technical process for hatchery reproduction, higher yield and
propagation quality, and to build the technological process of rearing for marketable
size product. Development of quality standards and quality assurance for seeds,
suitable food, and management rearing conditions. Research on solutions for safe
rearing, improvement in product quality and management and control of aquatic
diseases. Market development research.
1.3.
Coverage:
Priority objects for coastal culture : Tiger shrimps, mud crabs
Priority objects for sea farmring: lobsters
Priority objects for freshwater culture: Giant river prawns
2.
INDUSTRY STATISTICS
2.1
Introduction
The crustacean species are economically important and have had a significant impact on
development of the aquaculture in Vietnam. They contribute 60% total of the total
annual export value of the fishery from aquaculture. Development of the industry has
created shrimp and crab nursing jobs and wild and hatchery seed production has
generated further employment and raised income levels for producers and employees in
production, processing and exporting. This has had significant contribution in
improving social and economic conditions of the fisherman community.
In recent years, aquaculture in general and shrimp culture specifically is facing
challenges in seed quality, environmental pollution and diseases. These have in some
cases caused extreme financial losses and poor returns for labour and have resulted in
numerous farms which are fallowed for several crop cycles. Solving these problems is
urgent and further significant investment in quality management of reproductive
technologies, quality and improved quantity of feed used in aquaculture, and
management systems and control and management of disease is required. The aim is to
create shrimp and crab products of high quality, produced using good management
practices and sanitary condition to provide safe food to increase the reputation of
shrimps and crabs from Vietnam, so that they are more competitive in world markets.
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2.2.
Industry Characteristics and Prospects
Growing Areas and Yields
Production and Yields
With
3260km coastline together 959.945ha of brackish water areas and
approximately 1.000.000ha of fresh water areas, Vietnam has a high potential for
developing aquaculture in general and crustacean species in particular in all of the
fresh water, brackish water and sea areas. Increases in the number of juveniles from
the nature and from hatcheries, development of rearing areas for shrimps and mud
crabs has expanded in recent years:
Tiger shrimps are cultured in brackish water ponds in coastal area within a 5-25%
salinity range. The cultural areas have increased from 210448 ha in 1999 to 489.475
ha in 2002 and to 604479 ha in 2005. They are the main aquaculture product from
coastal areas and provide very important export income. Tiger shrimp culture has
become more and more specialized in each production phase such as juvenile
reproduction (post larvae) and production of marketable products
Table 1: Annual Tiger Shrimp Production
Year
2000
2001
2002
2003
2004
2005
Tiger shrimp juvenile yield
(million individuals)
11440
16291
19363
26429
25943
28279
Tiger shrimp yield
(ton)
97628
156636
189184
234412
290797
324680
Mud crabs are reared in brackish water ponds in coastal areas within a 5-25%
salinity range. Areas for rearing have increased from 35000 ha in 2000 to 115276 ha
in 2005. Production is often practiced in place of tiger shrimps in the areas where
tiger shrimp culture is marginal and has low efficiency. Annual production of mud
crab juveniles from hatchery is approximately 480- 800 tons.
Lobsters are reared mainly in cages or traps in bays and lagoons within a 30-35%
salinity range. The number of lobster cultured cages/ traps has increased from 14000
in 2000 to 35000 in 2005 and occupy approximately 1 million ha of sea area. They
are the only high value commercial crustacean species capable of production in the
sea. However the juvenile source depends entirely on harvesting from nature. The
lobster yields from farming was 500 tons in 2000, 2.400 tons in 2004 but was only
1.500 tons in 2005 because of high mortality of the juveniles.
Giant river prawns are mainly reared in fresh water areas in the Cuulong river Delta.
Crop production is from April to October each year. Prawn culture is practiced in
only four provinces: Angiang, Cantho, Dongthap and Vinhlong. Areas have
increased from 1800ha in 2001 to 3839ha 2004 which occupies approximately 0.43%
total fresh water areas. They are the only high commercial value fresh water
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crustacean species in fresh water areas. In 2005, the prawn yield of the whole
country was 6400 tons in which 6012 tons were from the Southern provinces.
Value and Markets
Crustacean species as tiger shrimps, mud crabs, lobsters and Giant river prawns are
the main aquaculture export products accounting for 60% the total exportable values
of the fishery.
Export values of tiger shrimps increased from US$607million in 2000 to US$1,230
million in 2005.
Lobster exports were US$73.5 million in 2004.
Expansion of the domestic market for shrimps is expected in the near future.
Comparative Advantage
All four species: tiger shrimps, mud crabs, lobsters and Giant river prawns have
competitive advantages in both the world and the domestic markets including:
o
o
Environmental and weather conditions: tropical climate completely suit
growing and developing of crustaceans.
o
Production of juvenile source e.g. 20 billion tiger shrimp juveniles, 100
millions mud crab juveniles and over 40 millions giant river prawn per
annum. In addition 2.5 million lobster juveniles are harvested from the
nature annually making Vietnam the top lobster source country in the world.
Cost of Labour and production: Unemployment in coastal areas is high,
costs of labour are low and the overall cost of production is low.
Areas where Vietnam is not as competitive include:
o
Control of quality of juvenile sources: The quality of the juvenile source
have not been managed well in most cultural areas.
o
Control the environmental conditions and diseases: Most of cultural
conditions and diseases used in marketable productions have not been
managed and this has led to loss of income and competitive advantage.
o
Preservation products: preservative technology of the products postharvest is not high resulting in decline of the product quality and
competitiveness.
Governmental policies
Government policies to encourage developing aquaculture in coastal and sea areas
include:
o
09/2000/NQ-CP of 15th June 2000 about transforming economic structure
and consumption of agricultural products;
o
03/2000/NQ-CP resolution mentioned farmstead economy;
o
103/2000/Q§-TTg Decision about investing infrastructure of trade village,
traffic and aquaculture in country side;
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o
o
112/2004/Q§-TTg Decision about the program of developing aquatic
juveniles until 2010;
126/2005/Q§-TTg Decision is the policy of encouraging to develop culture
seafood in sea, etc.
Other encouragements include:
o
Tiger shrimps, Giant river prawns and Mud crabs :
Planning cultural areas and irrigational systems sufficiently for
aquaculture.
Strengthening the aquacultural extensive system and deploying
efficiently aquaculture models
o
The Government policies permit transfer of marginal areas for
rice, low ground and coastal areas to rear aquatic animals and to
develop cultural models depending on each ecological area.
Giant are encouraged investing in technological process of
reproduction in local areas to gain 60.000 tons of marketable size
shrimps in 2010.
Lobster: The Government supports farmers who sea-farm lobsters through
access to loans for capital investment. The amount depends on amount of
lobsters, from 5 to 100 million VND per family with 1.18% in interest rate
for 24 months.
3.
Industry Analysis
3.1.
Structure
Households and Size of holdings
Tiger shrimps:
o
o
There are about 4281 hatcheries with different scales. Market prices of the
seed that be produced at each time is often changed, the profit therefore has
reached averagely to 30-50% of foating capital for small production
hatchery systems, and its breakeven point compared with fixed capital
investment is about 3-4 years. As for large systems, profit is 20-35%, so
after 4-5 years it would be breakeven.
o
Juvenile and marketable products have developed under state, private
companies and at family scale of operation.
There are 3 popular cultural models:
improved extensive culture
(approximately 300-800 kg per crop per year), semi-intensive culture (1-3
tons per hectare per year) and intensive culture (over 3-5 tons per hectare
per year).
Mud crabs:
o
The juveniles are from nature and meet about 10- 20% of demand
o
Reared in traditional extensive culture with about 140 kg per ha production.
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o
o
Hatchery juveniles have been produced since 2000. There are now over 100
private hatcheries in 18 provinces from Kien Giang, Ca Mau to Hai Phong,
Thai Binh.
The main cultural model is improved extensive culture in 5000m2 - 10 ha per
pond and the productivity is about 0.5 – 1 tons/ha/year
Lobsters
o
o
There are service systems as supply of juveniles, fresh food for lobsters and
buying marketable lobsters in the cultural areas.
o
The lobster source is mainly from nature. Harvesting lobster juvenile is
done families by three main harvest methods: boat- net- light, trapping and
diving
Marketable lobsters are cultured mainly in bays, lagoons along the Central
coast by two ways: in cages and in floats. After 18- 24 months, the
marketable lobster size is 800-1000 g per individual.
Giant river prawns
o
o
Prawn hatcheries started developing in 2000. Most hatcheries are private
(77.4%). Others are state (19.4%) and collectives (3.2%). Production of
hatchery juveniles is 90 to 162 million individuals annually.
o
3.2
The juvenile source from nature meets only 30-40% demand of marketable
culture.
Cultural models take many forms depending upon local characteristics and
include integration with prawn- rice crop rotations, semi- intensive culture,
intensive culture in ground ponds, in channel in gardens, in weirs in flood
areas and feeding by fresh food such as fresh water snails, trash fish. The
productivity is approximately 148- 924 kg per ha.
Supporting Infrastructure
Tiger shrimps, Giant river prawns, mud crabs and lobsters
o
10 national hatcheries belonging to Research Institutes and Universities were
built in different ecological areas in the whole country to produce juvenile
with high quality for culture.
o
The Centers of aquatic reproduction belongs to Aquaculture offices in locals
are also being built to provide sufficiently juvenile for culture. According to
the data census in recent years, there are over 4200 of private hatcheries
which in seeds be provided to farms are approximate 95% every year.
However, the quarantine on larval quatity and diseases from these hatchery
sectors is being limited.
o
Setting up organs research on manufactured pellets that being equipped
facilities in order to process feed for shrimps, crabs, lobsters.
Simultaneously, to collaborate with manufacturers of aquatic feed in both
domestic and foreign countries to produce pellets. Because in these cases,
labours and processing materials will be cheaper, even salvaged local source.
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Approaching therefore to advanced technology overseas and utilizing
labours and local materials for processing suitable pelleted foods for
shrimps, crabs especially seacaged lobsters are a reasonable direction.
3.3. Markets
The main markets include:
Products
Main markets
Tiger
America, Japan,
shrimps and EU, Australia
its products
Live
mud China, US
crabs
Live lobsters
China, US
Frozen
US, Japan, EU
Giant river
prawns
3.4.
Remarks
The prices are lower than of Thailand and India because
preservative techniques of the products after harvesting are low.
Expenses and employment cost are cheaper.
The prices from Vietnam are lower than other Asian countries
because the exportable products are raw materials mainly.
The processing techniques are not developmental yet.
It is possible to expand exportation to EU market.
The price from Vietnam is higher than from other countries in
the world because of higher quality and nicer coloration of the
tropical lobsters cultured in Vietnam
The processing techniques are not developmental yet.
It is possible to expand exportation to EU market.
The prices from Vietnam are lower than other Asian countries
because the exportable products are raw materials mainly.
The processing techniques are not developmental yet.
Future Trends and Key Market Issues
Tiger shrimps: The need is to apply the international standards of safety in food and
managing quality bases on ISO and HACCP for domestic and international markets.
There is also a need to post-harvest processing and preservation technology to
increase export value.
Mud crabs: The international market for live mud crabs is increasing but the price is
low because the products are raw materials. The need is to diversify the processed
products made from mud crabs to increase export values.
Lobster: The export lobster price in the world market is increasing leading to
expansion of culture areas of lobsters. This will require improvement in juvenile
reproductive technology of lobsters in order to expand lobster production.
Development of Vietnamese lobster trademark and increasing in the exportable
values by diversifying lobster products are other strategies for development.
Giant river prawns: the demand for Giant River prawns in the world and domestic
markets is increasing. The marketable size of prawns needs to increase to meet
market needs and international standards of safety in food and managing quality
bases on ISO and HACCP. To improve product diversity through processing and
preservation products after harvest to increase in exportable prawn values.
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4.
R&D Information
4.1.
Main Research Areas
Tiger shrimps, mud crabs and Giant River Prawns:
o
o
Developing systems and technology for reproduction, rearing to market size
safely and guarantee of food safety.
o
Investigating industrial feeds to suit culture to market size of mud crabs and
Giant river prawns.
o
Study efficient and stable models as culturing mud crabs with tiger shrimps,
and with other animals; culturing Giant river prawns in rice fields; semiintensive culture in ponds and in weirs.
o
Solution for management environment and crustacean diseases.
o
Research on enhancement reproductive technologies, reducing the cost of
juveniles.
Setting up new technologies of product after harvesting, processing and
diversifying shrimps and crab products.
Lobsters
o
o
4.2.
Investigating solutions for protecting the spine lobster resource in nature.
Lobster culture technology to market size in sea, managing environment,
diseases and feed.
Major Research Providers
Fishery Ministry
Tiger shrimps: Research Institute for Aquaculture No 1(RIA1) ; Research Institute
for Aquaculture No 2 (RIA2) ; Research Institute for Aquaculture No 3 (RIA3) ;
National Fisheries Assurance and Veterinary Association (NAFIQUAVED)
Mud crabs : Research Institute for Aquaculture No 2 (RIA2) ; Research Institute for
Aquaculture No 3 (RIA3) ; National Fisheries Assurance and Veterinary Association
(NAFIQUAVED)
Lobsters: Research Institute for Aquaculture No 3 (RIA3)
Giant River Prawns: Research Institute for Aquaculture No 1 (RIA1) ; Research
Institute for Aquaculture No 2 (RIA2) ; Research Institute for Aquaculture No 3
(RIA3) ; National Fisheries Assurance and Veterinary Association (NAFIQUAVED)
Research Institutes and Universities
Oceanographic Institute
Ecological Institute, TP HCM
Viet- Russia Tropical Research Centre
Fishery University
Forestry- agriculture Thuduc University, HCMC
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Cần Thơ University
Forestry- agriculture Hue University
Others
The local offices (Fishery offices, Scientific and Technological Offices, Encourage
Aquaculture centers)
Aquaculture Association
Private aquaculture hatcheries: over 3000 tiger shrimp hatcheries, approximately 100
mud crab hatcheries and 100 Giant river prawn hatcheries.
There are over 20 Limited liability Companies and Stock Companies for Aquaculture
The foreign organizations mainly includes DANIDA, IDRC, ACIAR
4.3.
Funding
Estimate of finance for research in 2005
About 6 billion VND (375000 USD) from the Government
About 1 billion VND (93750 USD) from foreign fund
4.4.
Major Achievements to Date
Tiger shrimps: Develop high quality shrimp parent stock. Environment and aquatic
disease situation are surveyed and forecasted. Some different ecological areas are
investigated and evaluated for production suitability. Study on suitable feed for each
larval stage and for juveniles. Quarantine regulations for shrimp post larvae quality
and reduction of use of antibiotics in production market size shrimps.
Mud crabs: Juvenile production of mud crabs in some ecological areas in North,
South and centre. Rearing of market products in extensive culture models in different
ecological areas with achievement of production of 1ton per ha. Study on nutrient
requirements of market size crabs.
Lobsters: Investigation of 3 technologies for harvesting and perseveration of natural
juveniles from sea. Rearing for spine lobsters in cages and weirs in sea resulting in
achievement of 45- 55kg per 18m3 of cage. Development of Lobster – blue mussels,
seaweeds, spotted snails (babylonia snails) culture models resulting in income of 1
billion VNS per 0,5 ha sea surface. Development of community management model
for management of the lobster resource.
Giant river prawns: Technological processes for a closed water cycle in juvenile
production have increased survival rates from 30 - 60%. Rotational cultivation model
between the prawns and rice increased crop yield from 500- 3.000kg per ha and 1560 millions VND per ha per crop in income. Intensive culture systems increased
crop from 1.5 – 1.8 tons per ha income from 39- 49 millions VND per ha and semiintensive culture model produced 3 tons per ha 96 millions VND per ha per crop in
income.
5.
SWOT Analysis
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Strengths
The resources, environment and weather in
Vietnam suit development of aquaculture
generally, culture crustacean species
particularly all year round.
Established and growing export and
domestic markets – crustaceans account for
60% of aquaculture export income
The potential area of suitable water surface
is very large.
Diversity in production options suitable for
a wide range of aquatic conditions
Many smallholders in shrimp production
with experience in production
The live food sources in local areas are
plentiful.
In Vietnam, employment is plentiful,
diligent and cheap.
Experience technical personnel especially
in shrimp production.
The governmental policies support
development of aquaculture.
Provides employment in villages, coastal
areas with a relatively large number of
women employees.
Provides improved income for poor
employees in villages to help improving
economic social life, eliminate hunger and
reducing poverty
Weaknesses
Opportunities
Further development of quality seed and
juvenile production systems to decrease
mortality and increase the volume and
quality of juveniles
Development of the industry including
seafood
processing,
production
of
commercial feed for shrimps and crabs, and
export of live crabs and lobsters.
Development of suitable species for use in
a wider range of salinity conditions
especially in the salty marshes
Post-harvest and preservation technologies
Diversification of products bases to meet
the demands of the export and domestic
markets.
Strategies for meeting world market
standards for aquatic products from VN
after entering WTO
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Production is small scale and supporting
infrastructure is weak
Low levels of investment in prcessing,
preservation and packaging
Relatively low education standard of
people is likely to reduce the speed of
uptake of new technologies
Relatively poor supply of juveniles of high
quality and quality of marketable product is
not high enough to guarantee high prices
The preservation techniques of the products
after harvesting are low to reduce quality of
productions
Lack of good trademarks in the world
market.
Market research is weak and market
fluctuation
causes
uncertainty
for
producers
Apart from costs of production the
comparitive advantage of Vietnam is low
Sub- flock phenomenon in cultured
shrimps and crabs decreases productivity
and quality
Threats
Competition
and
contradictions
in
community for use of water and land
resources
for suitable water and land with agriculture
Unstable market and fierce competition
between countries
Fluctuation of cost depends on the chances
of supply and demand in the world
The environment, epidemic diseases and
sanitation and safety of food are not
managed
Natural calamity, typhoon, flood and
drought
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Management of the environment and
natural resources to ensure bio-diversity
and availability of seed from natural
sources
Development of food safety (HAACP)
standards and their implementation
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ARDO 4: Mollusks
1.
ARDO DEFINITION
1.1.
National Goal:
To promote the development, research and culture of mollusk species for national food
security, and assurance of food safety for domestic and export markets.
1.2.
Research scope:
Research to improve the production, competitiveness, quality and food safety of
mollusk culture in Vietnam.
1.3.
Coverage:
Status of mollusk aqua-culture in general and several high economical value species
including: Oyster, Scallop, Clams, Abalone, Cockles, Squid, Conus, Octopus
2.
INDUSTRY STATISTICS
2.1
Introduction
In the past the major imact from molluscs has been through local and export markets for
squid and octypus. Divestification of mollusk markets has occured with most of the
effort based on clam culture. Vietnam has a very large area suitable for expansion of
mollusks and increased production is one of the key targets in the development strategy
of marine culture in the 21st Century. The global market has increased rapidly with the
proportion of global market trade being 30% of total production and 19% of total value
of all trade. Apart from food for human, mollusk bi-products have other purposes in
agriculture, industry, medical and fine art.
2.2.
Industry Characteristics and Prospects
Growing Areas and Yields
The Tidal and Sub-littoral area with favourable conditions for culture is 760,000 ha.
In addition there are more than 3000 big and small islands with tight bays and 112
estuaries that create favourable natural conditions for coastal culture.
Table 4. Salt-mash area in some coastal provinces of Viet Nam
Province
Total
area (ha)
Sea coast
(km)
Littoral areas
(ha)
Inundated tidal
area (ha)
Quang Ninh
201.160,0
273,1
48.748,8
116.361,0
Hai Phong
71.599,5
163,8
14.431,8
46.652,4
Thai Binh
37.930,2
51,8
10.368,2
23.605,0
Nam Dinh
40.039,3
82,9
10.608,7
22.717,0
Ninh Binh
8.084
17,7
2.586
3.189
Thanh Hoa
26.414,6
99,5
5.759,1
18.173.6
Nghe An
21.568,2
84,9
2.55,0
1.845.5
Ha Tinh
17.772,9
140,0
1.845,0
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