Why is Japan Rushing to Sell This Specialty Product to Vietnam, With Exports Surging by 2,078% in the First Half of the Year?

According to data from Japan’s Ministry of Finance, cited by the Vietnam Association of Seafood Exporters and Producers (VASEP), exports of scallops in shells from Japan to Vietnam reached 13,075 tons in the first half of 2024, surging by 2,078% compared to the same period last year. The average price of this seafood product stood at 231 JPY/kg, a decrease of nearly 50% year-on-year.

Despite the significant increase in export volume to Vietnam, Japan’s overall scallop exports during the six-month period fell by 52% year-on-year.

This decline can be attributed to the import ban imposed by China, the largest market for Japanese scallop products. Annually, China imported approximately 95,000 tons of scallop raw materials from Japan. However, since August 2023, China has prohibited the import of Japanese seafood due to the release of treated wastewater from the Fukushima nuclear plant into the sea.

To mitigate the impact of this ban, Japan has been actively diversifying its export markets, including Vietnam, the United States, and other Southeast Asian countries such as Thailand and Indonesia.

In June, Taiwan emerged as the largest consumer of Japan’s frozen scallop meat, importing 209 tons, closely followed by the United States with 162 tons. Export prices to the US market ranged from 2,700 to 2,900 JPY/kg, while prices in Taiwan increased from 2,700 JPY/kg in April to 3,300 JPY/kg in May and 3,100 JPY/kg in June. During the first half of the year, exports to the US and Taiwan recorded impressive growth, reaching 1,652 tons (up 136%) and 1,376 tons (up 50%), respectively.

According to Japan’s Ministry of Agriculture, Forestry, and Fisheries (MAFF), Vietnam has a wealth of experience in seafood processing, including scallops. As a result, Japanese businesses have chosen Vietnam as a processing hub, from which they can export to the US, ASEAN countries, and other markets.

Since the beginning of the year, Japanese seafood companies have been conducting trials to process scallops caught in Hokkaido, Japan, in Vietnam. These trials involve shipping approximately 20 tons of scallops in shells to Vietnam for processing. The processed scallops are then exported back to Japan, where they are sold to restaurants and retailers by Japanese companies. A total of 12 seafood processing and trading companies from Hokkaido are participating in this initiative.

Scallops from the waters of Hokkaido are known for their thick, large, chewy, and sweet meat, and they are caught entirely in the wild. To ensure freshness, live scallops are processed and frozen at -60 degrees Celsius. In Japanese cuisine, scallops are commonly used in dishes such as sushi and sashimi, as well as in steamed and grilled preparations, or as a key ingredient in various seafood specialties.

Scallops are a rich source of protein, omega-3, calcium, and other nutrients that contribute to improved cardiovascular health, a stronger immune system, and increased energy levels.