VN shrimp exporters in tough situation because of SIMP

The US initiated Seafood Import Monitoring Program (SIMP), to take effect from December 31, has created significant challenges for shrimp exporters.

Vietnam has only five months more to settle all problems and prepare for the implementation of SIMP, another barrier that controls imports, managed by the US NOAA (National Oceanic and Atmospheric Administration).

Under the program, Vietnam enterprises, when exporting shrimp and abalone to the US, will have to observe new regulations on giving information about the process of cultivation, fishing, processing, transporting and import.

NOAA does not apply the same management method as the US FDA (Food Drug Administration). NOAA’s officials will not come to Vietnam in unscheduled inspection tours to examine and supervise enterprises, and will not take product samples to examine when the products arrive in ports. It will control seafood imports based on documents and evidence.

Under the program, Vietnam enterprises, when exporting shrimp and abalone to the US, will have to observe new regulations on giving information about the process of cultivation, fishing, processing, transporting and import.

Celeste Leroux from NOAA said that Vietnam’s enterprises have to provide all necessary documents to importers in the US, which will represent Vietnamese sellers to prepare dossiers for traceability and apply for licensing. 

The first requirement for licensing is that importers must have permanent residence status, a business license and clear address in the US.

Some basic information Vietnamese enterprises for the dossier includes the names of the areas where seafood is cultivated/fished; the fishing equipment used; the names of seafood; weight; the first point of loading products into the US; the date of landing, port of landing; the delivery point and name of the first delivery unit.

Vo Van Phuc, general director of Thuy San Sach Vietnam (Vietnam Safe Seafood), said most shrimp farmers in Vietnam are small households. 

Processors and exporters only collect shrimp from farmers and monitor the cultivation process in fields related to antibiotics, impurities and size. They don’t require certificates and licensing like SIMP. 

“Honestly speaking, I don’t know what kinds of licenses farmers have to obtain and which agencies grant that licenses,” Phuc said.

“We have only five months ahead to prepare for SIMP. So, the situation is really serious,” he said.

Another seafood exporter also complained that SIMP’s requirements on ships and import/export time would cause difficulties for enterprises, especially the requirement on permanent residence status.

His company has been working with a representative consultancy unit in the US and intermediary import agents which are in charge of following customs procedures for the company’s products to enter the US market. 

However, the agents are not in charge of the documents related to SIMP. In addition, the company still has no legal representative in the US.

Other businesses said they export products through intermediaries, and most of them don’t have permanent residence status in the US.