Seafood Trade Matters: China-Taiwan grouper trade resumes; Japan seafood trade update; DAFF budget

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China: Resumption of Taiwan grouper imports

Chinese imports of Taiwanese grouper have officially resumed after the arrival and customs clearance of the first consignment after Beijing agreed to restore access on 22 December 2023. Read more from bbwfish.com here (Chinese). 

Grouper from Taiwan was suspended in June 2022, after China cited detections of oxytetracycline and other controlled chemicals. At the time of the ban, China accounted for around 90 percent of Taiwan’s grouper exports. Read more about the original ban here. 

Reuters reports “Taiwan's agriculture ministry said China was being politically selective in deciding which Taiwanese companies can resume grouper exports and was seeking to "divide Taiwanese fishermen. During the process they did not consult with us and did not inform us of the scientific conditions for quarantine, resulting in Taiwan's industry facing no consistent market rules to follow," the ministry said in a statement.” Nikkei also reports on Beijing’s decision to reinstate access, noting political factors, here. 

Other Taiwanese seafood products, including squid, fourfinger threadfin, Pacific saury, and skipjack tuna, remain unable to enter China due to separate suspensions. More context on China-Taiwan trade tensions from The Diplomat here. 

Japan: Seafood trade update

The redirection of Japanese scallops from the China market to the USA is helping to address lower supply in that market due to falling catches. The supply chain reorientation was characterised as “a huge opportunity in 2024” in a speech to the 2024 Global Seafood Market Conference in Orlando, Florida. Seafoodsource.com reports here. 

According to Kyodo News, a Japanese business delegation met Chinese Premier Li Qiang last week in Beijing and directly requested an end to the seafood ban, but “he did not give a clear response to the request, according to participants.” Read more here. 

In Korea, which has implemented restrictive measures on Japanese seafood imports, two additional radiation detectors have been installed at the ‘Garak Agriculture and Fisheries Wholesale Market’ in Seoul. According to Yonhap, the move is “part of efforts to allay public concerns over Japan's release of treated radioactive water into the ocean.” Read more here. 

Mainichi reports, “the International Atomic Energy Agency said Tuesday that Japan's discharge of treated radioactive water from the wrecked Fukushima nuclear plant into the sea is consistent with international safety standards”. Read more here. 

Red Sea disruptions: what does it mean for Australia?

Since November 2023, attacks on shipping in the Red Sea area have been upsetting global logistics chains and causing delays in trade. Euromonitor assessed the impact on global trade saying “Large-scale trade disruptions are unlikely, yet companies will face higher logistics costs”. Read more here. 

For Australia, the impact is likely to be small, mostly affecting businesses trading with Europe in the form of increased shipping costs. The Conversation takes a look at the implications here. 

A Seafoodsource.com podcast also covers the topic here. 

DAFF: Budget resources to support export services

In the 2023-24 Budget, the Government committed an extra $104.3 million to support agricultural commodity groups navigate the evolving trade landscape through stronger export and agricultural trade services. DAFF held an information session with exporters on 25 January to explain the purpose of the additional funding. 

Of the total amount, $91.8 million over 2 years will sustain the delivery of key export trade and regulatory functions (i.e. existing, not new, programs), $3.7 million over 3 years has been provided to enable the development of an ongoing sustainable funding model, and $8.8 million will be invested over 2 years to support the ongoing trade of live cattle with Indonesia and Malaysia. 

Read more on the DAFF website here.

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The Seafood Trade Advisory Group (STAG) is jointly funded by the Australian government and the fishing industry. We receive funds from the Fisheries Research and Development Corporation (FRDC).which is a statutory authority within the portfolio of the Federal Minister for Agriculture, Water and the Environment. 

 Any information provided in this STAG publication is general in nature. Before acting on any information provided, you should consider its appropriateness to your individual circumstances and business objectives.