Source: Undercurrent News
By Liza Mayer | April 16, 2024
China’s live crab imports surged by 26% to an impressive $1.63 billion in 2023, while live lobster imports skyrocketed by 29% to reach $790 million, according to a new report from the US Department of Agriculture (USDA) Foreign Agriculture Service.
Live lobster and live crab, along with mollusks and lavagantes, constitute more than three-quarters of China’s live seafood imports from global sources.
Live lobster
Live seafood exports account for approximately 35% of the US exports to China. In 2023, the US saw an 86% surge in live lobster exports, reaching $182m and claiming a quarter of China’s lobster market share, the highest in half a decade.
The USDA report said the US made significant progress due to reduced exports from Canada, but Canada still holds the primary position as the leading exporter of live lobsters to China. In 2023, China imported $604m of live lobster from Canada, up 17% year-on-year.
Live crab
The US rebounded by exporting $73m worth of live crabs to China, regaining levels similar to 2021 after a decline in 2022. Ranking fourth in live crab exports to China, the US holds a 4.5% share, trailing behind Russia (60%), Canada (10.5%), and Myanmar (5%).
According to the report, Russia leads because it’s close and has steady trade connections, with exports surging by 138% from 2020 to 2023. It said Canada’s dominance is due to flexible pricing and a consistent supply of hard-shelled crabs.
Myanmar’s exports grew by 104% from 2020 to 2023, partly thanks to the Regional Comprehensive Economic Partnership Agreement trade deal and eased COVID restrictions.
Market opportunities
The keen interest of Chinese consumers in imported live seafood presents a lucrative opportunity for US producers because China has a limited variety in its local seafood offerings despite being the world’s largest seafood producer.
The USDA report further said that consumers continue looking for high-quality and internationally recognized food products.
It cited official sources saying that China’s per capita seafood consumption was 16.2kg in 2022. However, some industry sources also indicate that per capita consumption is as high as 40.33kg. To put this into context, US per capita seafood consumption is around 9.5 kg.
The significant consumption underscores the country’s appetite for seafood. Delicacies like lobsters, king, and Dungeness crabs are in high demand, particularly for prestigious events like banquets and weddings.
The perception of seafood as a healthy protein source and the convenience of e-commerce platforms facilitating quick delivery fuels demand.
The USDA said US exporters can capitalize on this trend by offering products that domestic suppliers can’t match in terms of quality and variety.
Additionally, major holidays like the Lunar New Year and Mid-Autumn Festival serve as peak seasons for live seafood sales, creating a surge in demand. The US agency said that US seafood producers stand to benefit significantly by tapping into this market during these festive periods.