A meeting that will feature a prominent agenda, with specialists from both local and international levels

Argentina's Seafood Exports Exceed $1.7 Billion: Growth Challenges to Be Addressed at PescAr Forum

ARGENTINA
Tuesday, March 04, 2025, 00:10 (GMT + 9)

Chubut's fishing industry, fueled by record-breaking shrimp hauls, solidifies its position as a key economic driver, according to Pesca Chubut reports.

However, significant hurdles impede its full potential. On March 6th, the "Foro PescAr" in Puerto Madryn will convene industry leaders to address critical demands to the national government: exchange rate disparities, export withholdings, and the burdensome cost structure.

The fishing sector's importance to Argentina, particularly Chubut, is indisputable. With national seafood exports valued at $1.9 billion annually, Chubut contributes approximately $600 million, primarily through Madryn and Rawson ports.

Employing 13,000 individuals, the sector ranks second only to trade, generating substantial positive ripple effects across regional economies.

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Yet, the sector's potential for provincial economic growth remains largely untapped, with opportunities for increased, year-round employment.

"Our objective is to move beyond seasonal dependency. Chubut must achieve year-round operations through species diversification," stated Raúl 'Tato' Cereseto, a representative of Rawson's yellow fleet.

Cereseto advocates for reducing "shrimp-centricity" by promoting the harvest of other species, such as anchovy and hake, alongside the valuable shrimp.

"Chubut boasts unparalleled fishing ground richness, with abundant biomass across various species," he emphasized.

However, realizing this potential is hindered by macroeconomic factors and sector-specific challenges. For instance, hake capture efficiency varies significantly between Comodoro Rivadavia and Mar del Plata.

Despite abundant resources, port activity is constrained by cost structures, as industry stakeholders acknowledge. Notably, Santa Cruz processes significantly more hake, despite sharing the same fishing grounds.

Chubut anticipates confirming a record shrimp season, with projections of 93,000 tons in Rawson and 60,000 in Madryn, representing a substantial portion of the national 200,000-ton harvest.

These positive figures do not diminish the sector's pressing concerns, which will be central to discussions at the PescAr Forum.

Profitability Under Pressure

A recent report highlights the critical state of Argentina's fishing sector, impacted by nationwide economic challenges:

"The sector's profitability, particularly for fresh fish vessels and onshore processing plants, is compromised by low international prices, unfavorable exchange rates, export taxes, and escalating costs," according to Invecq's "Fishing Sector X-ray" report.

While focused on hake, the report's findings are equally relevant to Chubut's shrimp industry.

De La Fuente predicts a "necessary restructuring" in the face of unsustainable losses.

"Hake is in a state of crisis, and shrimp is in intensive care," a sector representative stated, citing the combined impact of low prices, currency issues, and tax burdens.

Cereseto champions a species-specific labor framework, arguing it would optimize resource utilization and create more jobs.

Meanwhile, national fishing associations have warned of a potential season shutdown if profitability remains negative, jeopardizing 3,500 jobs nationwide.

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