According to trade data updates from the National Oceanic and Atmospheric Association (NOAA), through the first five months of 2022, the United States imported approximately 7,836 tons of red king crab (Paralithodes camtschaticus) worth US$681.8 million and US$50.4 million worth of red king crab from Russia. Snow crab (Chionoecetes opilio) 1,836 tons.
By comparison, through the first five months of 2021, the United States imported 5,416 tons of red king crab from Russia, worth $237.3 million, while it imported 5,417 tons of snow crab, worth $111.9 million. Last year, the United States imported 12,944 tons of king crab, worth $587 million, and 18,823 tons of snow crab, valued at $509.9 million.
Crab expert Hodges wrote in his latest newsletter that the consequences of President Joe Biden’s (Joe Biden) executive order to block all Russian seafood from entering the United States after June 23 are “tremendous.” "Russia holds 94% of the world's king crab quota and 30% of the snow crab quota," and there are "very few options to replace the loss of this source. In fact, no other sources of king crab and snow crab will be able to make up for the U.S. crab market going forward." Required supplies are in short supply."
Snow crab demand sluggish
U.S. demand for snow crab remains somewhat sluggish compared to 2021, with prices now down more than 50% for some sizes. This comes after prices reached record highs late last year and sales slowed. Demand for Canadian snow crab sales in the new season has been hampered by existing high-priced carryover stocks from 2021 and changes in consumer behavior.
Russian king crab prices have also eased since Jan. 1 and are down 10-20 percent depending on size, he said. King crab stocks are limited and most are for contract sales. Sales of existing inventory have been slow and steady as king crab faces the same economic headwinds and changes in consumer behavior.
Hodges pointed to more troubling signs, such as high inflation, rising interest rates, a faltering housing market, cautious signals from major retailers and a lot of talk about a possible recession.
Snow crab populations have declined across the board in the first five months, according to the latest trade data from the National Oceanic and Atmospheric Administration . In the first five months of this year, the United States imported 21,019 tons of snow crab worth $554.7 million, a 28% decrease in volume and value from the first five months of 2022. This included 12,387 tons worth $317.7 million in May, a 5% decrease in value and 13% higher than in May 2021. The average price in May 2022 was $25.65 per kilogram, 8% lower than the average price in May 2021 of $27.82 per kilogram.
"It is clear that, by default, Canadian snow crab will be the primary source of U.S. snow crab for the remainder of the year," he wrote in the newsletter. Although Canada is not immune in the first five months of 2022. The United States imported 17,921 tonnes of snow crab from Canada, worth $474.3 million, 17% less than in the first five months of 2021 and a 22% decrease in value. May is the biggest month in Canada. The United States imported 11,687 tons of snow crab from Canada that month, worth US$302.5, with an average price of US$25.88/kg. Compared to May 2021, volumes were down 3%, values ​​were down 12% and prices were down 9%.
Russia focuses on expanding Asian market
Meanwhile, Hodges reports that overall crab production in Russia is up. Moreover, due to the ban in the United States, manufacturers are now working to expand their markets in Asia and the European Union.
In China, economic activity expanded in June after three consecutive months of contraction, an official survey showed. The reopening of China's major cities is crucial for Russian crab producers, as most of the country's crabs are sold in restaurants. Food inside. In 2021, China imported 32,943 tons of crabs, including 25,943 tons of live crabs and 6,899 tons of frozen crabs. Russia accounted for 1,115 tonnes of frozen crab and 15,508 tonnes of live crab. As of the first five months of 2022, China's imports of live and frozen crab totaled 13,960 tons, despite widespread closures of major regions due to COVID-19.
The economic prospects of South Korea, the world's second largest live crab market, are also optimistic. South Korea’s live king crab imports totaled 298 tons in May, with an average price of $44.89/kg.Live king crab imports stood at 1,694 tonnes through May, down 6% from last year. South Korea’s live snow crab imports totaled 1,041 tons in May, with an average price of $18.60/kg. Lower prices led to a surge in imports, up 31% compared with 2021's 4,423 tonnes. Live snow crab prices softened in June, with opilio prices from Magadan delivered between $16 and $17/kg. South Korea's imports of frozen crabs from Russia have continued to increase over the past year. Year-to-date imports are up 306% compared to the previous year to 1,193 tonnes.
Live king crab imports stood at 1,694 tonnes through May, down 6% from last year. South Korea’s live snow crab imports totaled 1,041 tons in May, with an average price of $18.60/kg. Lower prices led to a surge in imports, up 31% compared with 2021's 4,423 tonnes. Live snow crab prices softened in June, with opilio prices from Magadan delivered between $16 and $17/kg. South Korea's imports of frozen crabs from Russia have continued to increase over the past year. Year-to-date imports are up 306% compared to the previous year to 1,193 tonnes.
