Bangkok: The Thai Shrimp Association is urging the government to expedite negotiations with Malaysia after the latter suspended imports of Thai shrimp, resulting in a 2 billion baht loss in exports. Thai shrimp farmers are facing major concerns after Malaysian authorities suddenly announced a suspension of imports of five Thai shrimp species, effective June 1st. This affects Thai shrimp exports of over 8,000 tons annually, resulting in losses exceeding 2 billion baht. Meanwhile, businesses fear that the unsold shrimp will flood the domestic market, driving prices down sharply.
According to Thai News Agency, Mr. Ekaphon Yodpinit, President of the Thai Shrimp Association, along with a network of 19 Thai shrimp farming organizations, expressed concerns over the latest measures by Malaysian authorities to escalate controls on seafood imports from Thailand. The measures include a suspension of imports of five Thai shrimp species: tiger prawn, white shrimp, Vannamei shrimp, black tiger shrimp, and blue shrimp. Furthermore, exported goods are required to have a certificate proving the presence of pesticide residues from an accredited laboratory.
The report states that these measures were taken after Thailand tightened its inspection of 100 percent of imported white snapper from Malaysia to monitor for residues, antibiotics, and to prevent illegal seafood products that could affect domestic prices. This prompted Malaysia to retaliate by immediately suspending shrimp imports from Thailand.
The president of the Thai Shrimp Association stated that Malaysia is a key market for the Thai shrimp industry, particularly for produce from southern regions such as Pattani, Narathiwat, Songkhla, Satun, and Nakhon Si Thammarat, with a total export volume to Malaysia of approximately 6,000 to 8,000 tons per year. If these measures persist, they will inevitably affect the income of farmers and businesses throughout the industry chain.
The Thai Shrimp Association is therefore urging the government to quickly open negotiations with Malaysian authorities to request a relaxation of conditions or an extension of the enforcement period of the measures. They also propose that the Ministry of Agriculture and Cooperatives review the inspection guidelines for imported goods from Malaysia to ensure they are appropriate and consistent with international trade principles, in order to reduce long-term trade conflicts.
Businesses are concerned that if they cannot export shrimp to the Malaysian market as usual, a large quantity of the produce will be sent back into the domestic market, especially the big seafood markets in Samut Sakhon province. This could lead to a shrimp surplus, a rapid drop in prices, and a widespread negative impact on the income of shrimp farmers nationwide.