European shrimp market thrives, but supply risks loom over year-end

The European shrimp market has shown remarkable resilience and growth in 2024, with imports surpassing the five-year average and close to record highs, according to Eurostat data.

Spain and France have been the top importers, driving this robust demand. A source pointed to France as a standout market, particularly during the holiday season, when shrimp consumption peaks. Approximately 25% of France's annual shrimp consumption occurs in just two weeks during Christmas and New Year, reflecting strong seasonal demand. The source added that France's overall shrimp consumption continues to grow steadily, at an annual rate of about 2%.

While overall imports in 2024 have been impressive, much of the focus has been on Venezuela, which supplied 36,741 mt in the year to date, marking a 9.5% increase from 2023's total of 33,544 mt and a 75% increase from 20,952 mt in 2022. France and the Netherlands are the largest importers of Venezuelan shrimp, with France nearly doubling its imports from 9,071 mt in 2022 to 18,407 mt in 2023. By October, France had already imported 17,061 mt, reflecting its sustained demand. The Netherlands has seen even more dramatic growth, with imports nearly doubling from 6,094 mt in 2022 to 12,340 mt by October 2024.

However, Venezuela's role as a supplier has introduced challenges. Operational disruptions in November raised concerns over the stability of shrimp exports, particularly for European buyers reliant on smaller-sized shrimp, such as the 80/100 count. Sources in Belgium said weaker November sales, combined with these supply challenges, could complicate sourcing efforts for December and create uncertainties heading into 2025.

To mitigate these risks, European buyers are increasingly exploring alternative suppliers. A source said that many new players, particularly from South America and Africa, are trying to enter the EU market to enhance reliability, highlighting the EU's reputation as a premium market. Additionally, inquiries for smaller shrimp sizes have reportedly increased in Ecuador, as buyers look to address potential gaps left by Venezuelan supply.

While 2024 has been a strong year for shrimp imports, the weaker November performance and ongoing Venezuelan disruptions may dampen year-end momentum. Diversifying supply chains will be critical for maintaining market stability and ensuring consistent sourcing as the industry looks toward 2025.