Tilapia Price is going up very fast, why? Find out the reason here

As an "international fish", Tilapia has not experienced the "roller coaster" market like special fish, but the price "downturn" that has lasted for more than a year has made farmers "miserable", and some have suffered a lot. It is very common for many farmers to abandon or switch to breeding due to debts and even "fall before dawn".

According to data, tilapia prices finally began to rise at the end of July this year, with pond prices rising by nearly 1.2 yuan/500G in the past two months. The market has risen rapidly, with the most dazzling increase in the past half month, reaching a maximum increase of 1 yuan/500G ! At the same time, due to the shortage of raw fish supply, the cost of processing plants continues to increase, and the cost of one piece of open-back tilapia increased by 20-30 yuan.

It is understood that the main reason for the recent frequent rise in tilapia prices is the imbalance between supply and demand. The phenomenon of "demand exceeds supply" began to appear in mid-to-late August.

Since June last year, the price of tilapia has been falling frequently, and costs in all aspects have been high. Coupled with the soaring feed prices, the vast majority of tilapia farmers have suffered serious losses, which has severely damaged the confidence of farmers. There has been a phenomenon of "abandonment" and "conversion to breeding" among large-scale farmers. This impact lasted until the first half of this year, and has completely erupted recently, leading to a price increase of "less fish but higher prices".

Industry insiders said that in core tilapia farming areas such as Zhuhai, Maoming and Yangjiang, the number of seedlings invested will decrease by 50% year-on-year in 2022, and tilapia production this year will decrease by about 50% year-on-year.
So far, the number of adult tilapia fish ponds is very limited, with only 20% of the ponds in the two main production areas of Guangdong and Hainan. The original inventory of the processing plant has basically been sold out, and a large amount of raw fish needs to be purchased to cope with new orders. Due to the shortage of raw materials, factories compete with each other for supply, and market fish also joins the fight for supply, resulting in the "Tilapia" "demand exceeds supply" situation, prices continue to rise!

Industry insiders believe that the current good market is expected to remain until the beginning of next year, and the market will not fall back until the next batch of new fish reaches market specifications. Recently, it is the early stage of stocking for the Mid-Autumn Festival and the National Day, and processing plants are in high demand. The demand for snapper fillets and open-back tilapia will surge. At the same time, feed is also an important part that affects breeding costs in the past two years. Some farmers said that the increase in fish prices has not been as high as that of feed mills.