Shrimp industry transition: from rapid growth to sustainable development

Shrimp industry transformation: from rapid growth to sustainable development The shrimp sector today is not only a key export product but also a livelihood for millions of coastal workers. However, facing environmental pressures, diseases, and global competition, the industry is at a turning point requiring a strong shift toward sustainable development. The shrimp sector is entering a transformation phase with a focus on green production and a circular economy. Role as a pillar in seafood exports: After more than two decades of development, shrimp has become a pillar of Vietnam's seafood. In 2025, brackish-water shrimp farming area reached about 750,000 hectares, production around 1.29 million tons, export value about USD 4.6 billion, accounting for over 40% of total seafood export value. According to Mr. Tran Dinh Luan, shrimp plays a particularly important role in the sector’s structure, contributing to growth and employment. However, he emphasizes that "in the coming period, green development will be an inevitable trend to raise competitiveness and add value to Vietnamese shrimp products." From 2010–2025, the sector shifted from expanding area to increasing productivity. Whiteleg shrimp gradually replaced black-tinned shrimp? (note: Vietnamese text references whiteleg shrimp as the main driver due to high-density farming) becoming the main driver thanks to intensive farming and high yields. High-tech farming models and super-intensive farming occupy about 20% of area but contribute nearly 80% of production. Despite achievements, growth models relying on high-density farming show limits. Environmental pressure in concentrated farming regions grows, while wastewater treatment infrastructure has not kept pace with development. Waste from ponds, surplus feed, and bottom sediment accumulation degrade water quality, increasing disease risk. In 2025, the country recorded over 7,000 ha of shrimp farms affected by disease, with hundreds of communes hit by outbreaks. Deputy Minister of Agriculture and Environment Phung Duc Tien stated that the shrimp sector faces double risk from environment and disease. "To develop sustainably, we must shift from production thinking to a value-and-sustainability-oriented approach, where environmental control and biosafety are prerequisites," he emphasized. Additionally, climate change increases production uncertainty. Heat, saltwater intrusion, off-season rainfall, and extreme weather events are directly affecting yields and farming costs. Competitive pressure and internal bottlenecks: Not only internal pressures, Vietnam’s shrimp sector faces fierce competition from Ecuador, India, and Indonesia—countries with scale and lower production costs. Domestic production remains mainly reliant on smallholders, with dispersed supply chains and high input costs. This makes meeting international standards on traceability, food safety, and sustainability challenging. According to Nguyen Hoai Nam, Secretary General of VASEP, the shrimp industry has adopted new models such as shrimp–forest, shrimp–rice, and high-tech farming, contributing to value enhancement. However, rapid intensification also leaves an environmental footprint and calls for restructuring toward greater sustainability. Faced with these challenges, the shrimp sector is entering a transition phase with a focus on "green" production and circular economy development. Environmentally friendly farming models such as shrimp–forest, shrimp–rice, and ecological farming are increasingly encouraged. Simultaneously, high-tech technologies like biofloc, recirculating aquaculture systems (RAS), environmental sensors, and artificial intelligence are widely applied to manage risks and improve efficiency. Former Minister of Agriculture and Rural Development Le Minh Hoan has repeatedly stressed that the shrimp industry should shift from a production-focused mindset to one of value and sustainability. He argues that development should rely not only on technology but also on organizational production, value-chain linkage, and environmental responsibility. International standards such as ASC, BAP, and organic are becoming a passport to access markets. This drives the formation of farming clusters, cooperatives, and linkages between businesses and farmers to raise compliance with standards. Amid rising global demand for seafood, Vietnam’s shrimp sector still has substantial growth potential. The road ahead is not about expanding areas or increasing stocking density, but about improving quality, efficiency, and sustainability. Experience shows that models balancing economic benefits with environmental protection are more likely to endure. Investment in farming area infrastructure, improved institutional frameworks, and strengthening value-chain collaboration, as well as helping smallholders access technology, will be decisive factors. The shrimp industry stands at a crucial crossroads. Lessons from past development—from high-density farming to disease crises—underscore the need for change. Green development, sound governance, and effective linkages will be keys for Vietnamese shrimp to maintain its position and rise in global value chains.",