Increased scallop exports to China and its influence on the domestic production center
2019
Kawahara, S. | Takahashi, Y. | Suenaga, Y.
In 2009, scallop exports from Japan to China were around 1,000 tons, but rapidly increased and reached approximately 53,000 tons in 2015. Although most exports to China were "Frozen Whole Shell Scallops," which is frozen shellfish, it is considered a raw material and value added is low. "Frozen Whole Shell Scallops" are either offered as foodstuffs at restaurants in China or are processed and exported to the United States. At the domestic production center in Japan, landing prices were previously decided by agreements between producers and processors. However, on account of the increase in scallop exports to China, some wholesale markets chose a method that determines landing prices through the bids of processors. Through this bid method, the intentions of Chinese buyers are reflected in bidding prices, and prices fluctuate although domestic supply and demand does not have an impact. Competition among country processors intensifies and the management of country processors are under pressure. Regarding domestic consumption, rising domestic scallop prices, whose elasticity is relatively high, have led to a decrease in domestic consumption. In addition, the reorganization of the scallop sales strategy is needed.
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