The prices for skipjack tuna for delivery to Bangkok, Thailand in July are up again on June, with canneries reportedly seeing pushback from buyers.
According to multiple sources, the prices for July deliveries to Bangkok, considered an industry benchmark, are up to around $1,950-$1,970 per-metric-ton, compared to $1,875-$1,900/t in June. Prices in Manta, Ecuador, another tuna price benchmark, have already hit $2,000/t, where many feel Bangkok will go soon.
“The finished goods market cannot accept this level, so sales are very slow,” one Thailand-based tuna canning executive (source A).
A US-based executive, who declined to be quoted by name (source B), said traders were pushing for $2,000/t in July (see the historical trend on the Undercurrent prices page), which is the level many feel the price will go next.
It is possible small packers might have paid $2,000/t for July,
“I could see $2,200-$2,500/t by the end of summer,” said an executive with a large fishing company (source C), who also declined to be quoted by name.
This is what the harvest trends are indicating, he said.
The “catch remains slow, and we see continual shifts in ocean condition”, said source C.
In the Indian Ocean, the fishery is going to shut down early, due to the introduction of new quotas.
On July 1, the four-month ban on catching on fish aggregation devices in the Western and Central Pacific Ocean started. Also, in the Eastern Tropical Pacific, the “veda”, or closed season, in English, means around half the fleet tie up for June and July.
Stricter rules on Indian Ocean yellowfin fishing to impact skipjack
“One would need to be blind not to see a trend,” he said.
Next will be more demands from NGOs to cut harvests and for more Marine Stewardship Council (MSC) certified fish, or fisheries that are at least in fishery improvement projects, or FIPs.
“Next, what will occur is more demand by the environmental groups to harvest under MSC or FIPs, which we can do. But, again, that causes catches to go down even more, as to harvest under these conditions you give up 25% in efficiency.”