Towards profitable net-zero farming
- Region: Vietnam
- Sector: Aquaculture (Shrimp)
- Duration: 2024-Active
- 8 Project partners
The ShrimpTechVietnam 2024 – 2026 consortium is a collaboration of Vietnamese and Dutch companies that aim to enhance Vietnam’s position as a leading global producer and exporter of shrimp. The consortium will drive the net-zero transition of the shrimp sector in Vietnam, leading to improved efficiency, quality and profitability for mid-sized farmers.
This concept of net zero farming is built around reducing greenhouse gas emissions within shrimp production to a level that is balanced by the removal of an equivalent amount from the atmosphere. This can be achieved by improving the efficiency and productivity of farming practices, use of Internet of Things (IoT) technology, new farming systems and knowledge in the fields of Cryogenics, low impact inputs, and local value chain development that enable Vietnamese shrimp farmers to produce shrimp efficiently.
This consortium approach will contribute to the development of the aquaculture and shrimp farming sector in Vietnam by improving sustainability, knowledge and digital technology. Furthermore, the consortium approach will increase trade & investment opportunities for Dutch & Vietnamese companies in the sector.
The challenge
Vietnam is currently the world’s 4th largest producer of shrimp. Previously, Vietnam was the 2nd largest producer of shrimp but got caught up by Ecuador in terms of volume produced.
As one of the industry’s leading countries, Vietnam’s shrimp sector is facing challenges with diseases, water quality, the use of antibiotics and high mortality rates in shrimp populations. This results in a high production cost for Vietnamese shrimp and a shift towards the export of lower-cost shrimp from Ecuador is occurring.
| Cost overview (USD/kg) | Ecuador | Vietnam |
| Feed | 1,40 | 1,60 |
| Seed | 0,15 | 0,25 |
| Chemical | 0,10 | 0,30 |
| Healthcare & bioremediation | 0,20 | 0,60 |
| Electricity | 0,10 | 0,30 |
| Labour | 0,20 | 0,30 |
| Total variable cost | 2,15 | 3,35 |
| Land lease | 0,05 | 0,15 |
| Depreciation | 0,05 | 0,40 |
| Maintenance | 0,05 | 0,20 |
| Administration | 0,10 | 0,15 |
| Total fixed cost | 0,25 | 0,90 |
| Total production cost USD/kg | 2,40 | 4,25 |
Public Private Partnership – Partners & potential partners with complementary skills
- Larive International is a Netherlands-based international business development firm specialised in assisting companies in entering and expanding their business activities in emerging markets. Larive has local partner offices in Asia, Central and Eastern Europe Turkey and East Africa
- OpenAsia is an investment and advisory firm with a strong presence in Vietnam with offices in both Hanoi and Ho Chi Min City and rich local knowledge in multiple industries. OpenAsia’s advisory team comprised senior researchers and advisors with multi-discipline expertise, International exposure a strong relationship with local authorities and corporations.
- Skretting is the world’s premier producer of feed for aquaculture. The company is an expert in the nutritional needs of shrimp and fish with a sustainable and economical focus. Since 2010 Skretting has been present in Vietnam with their local entity Skretting Vietnam. Skretting invested in two modern state-of-the-art factories in Vietnam.
- Tiptopp Aquaculture is a specialist in sustainable ecological culture techniques in biosafety, sustainability and increased productivity. With their aim to produce shrimp in the most ecological and economical way possible, they offer advice, engineering, project management and feed research in shrimp aquaculture.
- ShrimpVet provides shrimp disease diagnostics, microalgae services, and disease control in close collaboration with research institutes, the private sector and international organizations. The company has around 100 employees, a central office, two labs and a small hatchery in HCMC
- Delta Farms is the biggest producer of live bait for fishing and maturing feed for aquaculture industries. The company has over 30’ years of experience and many clients for their shrimp brood stock. TopsyBaits exports live worms to 14 countries and 40 countries are supplied with frozen worms.
- RYNAN Smart Aquaculture is a Vietnamese tech innovator that creates and develops advanced solutions such as AI & IoT smart devices for Coding Marking, Agriculture, Aquaculture and Smart City. With an IoT aquaculture management system, water quality can be measured, and diseases can be early detected.
- Viqon Water Solutions is an independent consulting company in aquaculture and water treatment. VIQON has more than 15 years of experience in aquaculture engineering and project realization.
