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VIETNAM PANGASIUS

2019 SUPPLY & MARKETS

Berlin, 16 October, 2019

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Innovative farming and sustainable source

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Supply delicious, versatile, sustainable premium seafood

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Supply the world’s first ASC certified hydrolyzed collagen

PANGASIUS: YOUR EVERYDAY FISH

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Products Per Capita

(pound)

Tilapia 1.08

Alaska Pollock 0.78

Pangasius 0.71

Cod 0.66

Catfish 0.53

U.S. Per Capita

Whitefish Consumption

Products Per Capita

(kg)

Cod 2.33

Alaska pollock 1.59

Hake 0.96

Pangasius1 0.50

EU Apparent Whitefish

Consumption

Products Volume

(ton)

Cod 61,400

Haddock 30,200

Pollock 42,100

Pangasius 9,400

UK Whitefish Market

Source: National Fisheries Institute, EUMOFA, Kantar Panel Data; Note: 1. and other freshwater catfish

VIETNAM PANGASIUS OVERVIEW

7Source: GOAL (LHS), VASEP

Production (Million Tons) Export Value (US$bn)

1.101.13

1.10

0.98

1.11 1.12

1.191.25

1.33 1.40

2010 201420132011 2012 2015 20172016 2018 E2019

1.43

1.811.74 1.76 1.77

1.57

1.721.79

2.26 2.20

201720132010 2014 20152011 2012 2016 2018 E2019

VIETNAM PANGASIUS INDUSTRY EXPORT VALUE

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26%

15%

14%

10%

6%

3%

2%

21%China (incl. HK)

Mexico

ASEAN

USA

EU

Brazil

Columbia2%

Japan

Others

Total

US$962m

Source: VASEP

Export Value by Market (6M 2019)

0

50

100

150

200

250

300

350

400

450

500

550

2010 2011 2012 2013 2014 2015 2016 2017 2018

EuropeUSA

China (incl.HK) ASEAN

Key Export Markets (US$m)

MAIN MARKETS: CHINA

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• Vietnam is the 3rd largest white fish exporter after Russia

and Norway.

• Export volume reduced in 1H 2019 due to tightening border

trade and quality control measures.

• Market recovered in 2H 2019 via formal export channels

and growth is expected to continue in 2020.

• Reduced tilapia export to the U.S. from China due to tariffs

did not impact pangasius sales.

Note: Vinh Hoan does not participate in border trade

100

171

251

254

1H 2016 1H 2017 1H 2018 1H 2019

China Export Value (US$m)

MAIN MARKETS: UNITED STATES

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• In 6M 2019, sales reached US$142 million, -28% YoY.

• Wait-and-see approach up to the announcement of the

new anti-dumping duty in late April.

• U.S. importers took excess inventory due to supply

shortage concern in 2H 2018, thus, sales reduced in 1H

2019 for inventory digestion.

• Sales recovery in 2H 2019 will contribute to small overall

growth in 2019.

187

176 1

97

142

1H 2016 1H 2017 1H 2018 1H 2019

US Export Value (US$m)

MAIN MARKETS: EUROPE

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• In 6M 2019, export value reached US$139 million, +18%

YoY, showing signs of recovery and continuous improvement.

• In Q2 2019, export to Germany and UK increased

approximately 40% YoY.

• EU-Vietnam Free Trade Agreement removes tariffs to the EU

from 5.5% over 3 years. Expected to be rectified / receive

consent in 2019 or 2020.

• “No Deal” Brexit removes tariffs (from 5.5%) under the draft

Customs Tariff (Establishment) (EU Exit) Regulations.

133

101 1

17

139

1H 2016 1H 2017 1H 2018 1H 2019

EU Export Value (US$m)

INDUSTRY OUTLOOK

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• Government initiatives to balance supply-demand in farming

• Reduce border trade and improve quality control to China to drive sustainable

growth

• Establish and participate in Market Development Fund for Vietnam pangasius

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THANK YOU

Hoa Phan (Chau)

Vinh Hoan Corporation

Email: hoa.phan@vinhhoan.com