Lots of Shrimp on the Barbie in Boston,
and Tasty Mussels Too

The president of the Thai Frozen Food Association, Dr. Panisuan Jamnarnwej, discusses shrimp market price and production trends.

Dr. Waraporn Prompoj, director of the Fisheries Foreign Affairs Division of Thailand’s Department of Fisheries, talks about quality control of seafood production.

As usual, frozen shrimp products and hot talk about the shrimp business were on the front burner at the International Boston Seafood Show (IBSS). As buyers and sellers were wheeling and dealing on the exhibition floor, the well attended Annual Shrimp Forum and the Thai Quality Seafood Seminar on March 14 and 15 provided frank assessments of the state of the industry.

While prices have been relatively stable over the past five years, according to Steven Hedlund of SeafoodSource, it seems that both producers and importers have been getting squeezed along the way.
“Over the past 15 years the price has been cut in half, falling from $12 to $13 per kilo to $6.30 today,” reported Dr. Panisuan Jamnarnwej, president of the Thai Frozen Food Association (TFFA).

During that period, the rise of aquaculture has significantly boosted production of farm-raised shrimp around the world. Last year Thailand exported over 400,000 tons valued at $2.8 billion, of which almost half went to the United States. Indeed, a third of the USA’s shrimp imports are sourced from Thailand.

Output from Thailand, which employs high quality, “clean and green” aquaculture standards, is expected to again increase this year, according to Dr. Waraporn Prompoj, director of the Department of Fisheries Foreign Affairs Division.

The surge in supply from other countries as well – among them China, Vietnam, Indonesia and India – has made shrimp much more affordable to middle class consumers in the industrialized world.

Shrimp used to be regarded as an upscale product, but no more. “I think it’s over that shrimp is seen as a luxury item, except perhaps for the large sizes,” said the TFFA president.

Still, American consumers are not getting the bargain, or “bang for the buck” that they should be receiving, pointed out Morton Nussbaum, chairman and ceo of Newton, Massachusetts-based International Marketing Specialists.

“The market price has gone down by 50%, but we don’t see prices dropping at restaurants or in supermarkets,” stated the seafood importer. “When we charge a chain $2.50 a pound for shrimp, they sell it for $7.99.”

Mussels on the half shell with blueberry maple vinaigrette were a tasty hit served up at Atlantic Canada’s “Feast Your Senses” event at Boston University.

One retailer, when was asked why he would not reduce prices to $3.99 or $4.99 a pound to boost volume, replied: “Normally we charge $9.99.”

The explanation given was that supermarket operators are keeping shrimp prices high relative to cost in order to offset loss leaders in the perishables department. This would include proteins such as chicken and chopped meat, which have lately been going for $1.79 and $1.99 a pound, respectively.

“It’s the greed factor. They just don’t want to give up the margin,” said Nussbaum. “The bottom line is we’re all doing more volume and making less money. That’s an upside down formula for success. So how do we reverse that? None of us know the answer. Every year that goes by, the margins get smaller. We have to look to alternative species, otherwise we can’t survive.”

One alternative species of shellfish that the trade might consider putting more marketing muscle into is mussels – cultured blues from Atlantic Canada, in particular. After seeing what “Kilted Chef” Alain Bossé did with them at the Boston University Culinary Arts School during an event held across town from the IBSS venue, the sky’s the limit. Among the treats dished out were delicious servings of Mussels with Blueberry Maple Vinaigrette. Loaded with heart-healthy Omega-3 fatty acids, vitamins and minerals, the raw material is available from a very reliable, sustainable resource.