Following a business, the journalist of SGTT went to many frozen factories in Delta’s provinces to buy export pangasius and saw the harsh reality.
Selling at any price!
In the morning of November 27, we and Mr. B., the director of a trading company in HCMC went to a famous frozen aquatic factory in Lap Vo district, Dong Thap province to have a last test for two containers (50 tons) of cut pangasius before export to Eastern Europe. Despite in the morning shift of production, this monumental fish processing factory has only about one third of workers work. One management staff confirmed the engine remaining is stayed quiet because there is no single export. Mr. T, person in charge of business of the company went to the cold storage and carried three tra catfish tanks in order to let we check. When taking the fish bag, Mr. B. instantly frowned: "this fish is such a small size that it will be returned by Eastern European customers. Moreover, in the contract agreement, tail fish have to be cut separately from the tail fin 4 centimeters, why is fin here now? ".
After being implored, Mr. B finally approve of rejecting the small portion of tail, just leave the big one. To do this, T. said that have to mobilize workers cutting every bag and selecting (50 tons, a kg per bag), worked all day and night to bring to the New Port promptly delivered to Mr. B. on the night of November 29. T. lamented: “Not only there are a lot of work, cost to repack but also we don’t know whether those rejected portions can sell or not”, but then he said as reassure himself “It is lucky when we can sell the fish at this time, so we should pamper the customers”.
Mr. B. found the export contract of cut pangasius, and went to the factory to hire the outwork. The cost on the contract was only 1.4 USD per kg; the factory must pay cover, frozen, package on the container and then delivery to the New Port. Mr. B. said that this is the price which can not be better. The factory have to sell at a cheap chip and accept loss, is disturbed like this, it was just because they have to maintain production on length. According to calculation, to make 1 kg of frozen cut Pangasius, they need at least 1.5 kg of raw material (average 15.000d/kg), not including the cost of packaging, labor, transport ... "There is a factory in Can Tho also offer cut fish only 1.33 per kg, "said B. added.
We continued to go to V. factory in An Giang to ask for buying fillet red meat fish. Mrs. T., Chief of Sales Department bid 1.55 USD / kg, but Mr. B. shook his head, decreased 1.43 USD / kg. Mrs. T. accepted to sign on contract of selling two containers. V. factory is one of the factories where has a big volume of export fish in An Giang, but they have to close some processing factories now. Mrs. T. recognized the reason for accepting the cheap price is “to push out all inventory and maintain employment of workers”.
Not only V. Company but also almost frozen factories have the difficulty as the export cost and order decline sharply than before. Mr. B. says there is unmarketable, so the vendors must sell each container, just order two or three days with a very cheap price.
Cheapest is dearest
In T. factory in Can Tho, after observing a round of fish processing area, we stopped in the area known as “spin to gain weight”. Fillet fish is frozen in plastic basins - essentially this is the way to heavy pumping, then put in stainless steel tanks - like concrete mixer, then pour the chemical (a white powder mixes with water) in spin for fillets are soaked up outside. In addition to making a heavy weight, the chemical sticks to the fillets when it is dried, fish are still holding water inside. After the plating tapes (about 20% by weight), both the fillet becomes a solid block, it is difficult to recognize that is a stuffed impurities fish by eyes.
A business works in this industry said this chemical is harmless to human health (?) so it is accepted by the export market. However, this is a cheat weight.
Mr. B. also confirmed, 1 kg fillet Tra catfish, besides the plating rate by 20-25% depending on the permission and demand of the customers, frozen factory also cheat by pumping water, spinning to gain weight by additional 50-10%. Mrs. T. acknowledged that the current market of Tra catfish is very topsy-turvy, the business satisfy all customer’s bargain, it means higher price go in line with good quality and cheaper price is together with the poor quality.
Corollary from the dumping, poor quality has led to a series of bad consequences happen to the Tra catfish by time. In the afternoon of November 29, Mr. Nguyen Huu Dung, permanent vice president of Vietnam Association of Seafood Exporters and Producers (VASEP) admits price of Tra catfish are being sold too cheap by business, giving foreign customers a chance to compel the price, and doubt the quality.
As Vasep, the price of export Pangasius on average the first 10 months of this year only reached 2.23 USD per kg, down 0.02 USD per kg compared with the 2.25 USD / kg of the same period last year. Currently, except for the U.S. market, price of Vietnam Pangasius export to other markets are down, especially Spain, Poland, Egypt.
Hoang Bay
Source: SGTT
Translated by Vietfish Community
