US shrimp assessments move after weeks of limited price changes

Several US shrimp assessments moved Oct. 5 after remaining largely unchanged through much of September, marking the first broad movement in the market following weeks of limited trading activity and persistent differences between buyers' and suppliers' price expectations.

Platts assessed peeled, deveined, tail-on 16-20 count shrimp DDP US Northeast at $4.75/pound Oct. 5, up 55 cents from the previous assessment of $4.30/lb. Headless, shell-on 21-25 count shrimp and 26-30 count shrimp were each assessed 5 cents lower at $3.60/lb and $3.49/lb, respectively, while head-on, shell-on 30-40 count shrimp rose 10 cents to $5.61/kg. Peeled, deveined, tail-off 31-40 count shrimp was unchanged at $3.70/lb.

The movement follows a month in which market participants repeatedly described a market struggling to establish a clear price direction. Buyers, faced with sluggish retail demand and elevated inventories, were often reluctant to replenish stocks at prevailing offer levels, while suppliers remained hesitant to reduce prices further amid concerns surrounding production economics and farm-level returns.

Throughout September, sources reported limited trading activity despite ongoing negotiations. One importer said in late September that a customer was holding roughly eight container loads of unsold inventory while continuing to incur storage costs rather than selling at a loss. Around the same time, another importer said suppliers were gradually lowering offers but that buyers continued seeking lower replacement costs, resulting in few transactions being concluded.

While several assessments moved this week, sources said many of the market dynamics that contributed to the prolonged period of stability remain in place.

The increase in the PDTO 16-20 count assessment reflected higher market indications in a segment where suppliers have continued to target higher prices. An importer said offers were heard around $4.80/lb but that buyers remained unwilling to transact at those levels. According to the importer, suppliers have been reluctant to lower prices further because of ongoing discussions with farmers over production costs and returns.

HLSO 21-25 count shrimp and 26-30 count shrimp each declined 5 cents. Although offers were heard at levels consistent with previous assessments, sources reported limited trading activity, with buyers showing little willingness to transact at those values.

El Niño

Underlying supply developments have also remained a focus for market participants. Sources said Ecuador's shrimp sector continues to contend with higher operating costs linked to electricity-related challenges, though participants generally expect those pressures to affect margins more directly than export pricing given the current demand environment.

Market participants are also monitoring weather conditions in Ecuador. Sources cited the potential for heavier rainfall associated with El Niño as a factor that could affect pond conditions in some production areas. While the impact remains uncertain, participants said lower pond salinity and localized flooding could influence production if weather patterns intensify.

Not all categories followed the broader trend. The PDTO 31-40 count assessment remained unchanged at $3.70/lb, which sources attributed primarily to supply conditions.

One importer said there are few offers available for the size, citing favorable growing conditions that have encouraged production of larger shrimp and reduced availability of smaller-count product. Sources said that the supply profile has helped support prices even as broader market demand remains subdued.

Meanwhile, exporters in India reported increased caution regarding sales to the US amid market discussions about potential tariff-related developments. Some suppliers have reportedly paused offers while monitoring the situation, adding another layer of uncertainty to an already slow trading environment.