Shrimp Farming Costs Decline in China Thanks to Automation Technology
Domestically farmed shrimp are now able to compete with imports, largely thanks to improved cost efficiency. A key factor in this shift is the widespread adoption of greenhouse shrimp farming, which now accounts for 35–40% of China’s total shrimp output.
However, despite the reduced costs, profitability remains a challenge. In 2024, the average production cost for greenhouse-farmed shrimp (60 pcs/kg size) was around CNY 26/kg (USD 3.63/kg)—essentially equal to the market price in Jiangsu province, leaving farmers with almost no profit margin.
Profit Margins Depend on Stocking Density
To improve profit margins, farmers must increase stocking densities, as this is the only realistic way to boost productivity and efficiency under current conditions. Even so, average returns on investment for greenhouse shrimp farms in China reached only around 9% last year.
Market Price and Structure Are Changing
One notable shift has been the change in China’s shrimp market dynamics. Previously, prices would spike significantly around holidays such as Lunar New Year and National Day. Now, these seasonal increases are less pronounced.
Li observed that “price hikes are now moderate and much shorter in duration.” In 2024, shrimp prices in China fell by 15%, equivalent to around CNY 4/kg. Additionally, the price gap between large shrimp (40 pcs/kg) and medium shrimp (60 pcs/kg) has narrowed considerably.
Technology Enhances Efficiency in Shrimp Farming
Automation and smart technologies are now central to China’s shrimp farming advancements. Automatic feeders are widely used, reducing labor costs by 30–50%. Li also emphasized that improving feed conversion ratios (FCR) is critical to cutting production costs. Even a 0.1-point improvement in FCR can result in a 4–6% reduction in overall farming costs.
In more advanced regions like Guangdong and Fujian, the adoption rate of automation equipment has reached 90%. Key technologies include:
Automated aeration systems to reduce energy costs
Night-vision cameras for continuous pond monitoring
Smart water quality monitoring systems to optimize farming decisions
These innovations not only cut costs but also improve survival rates, positioning China’s shrimp industry for stronger international competitiveness.
Thanks to automation and technological innovation, China's shrimp farming sector is making significant progress in cost reduction, productivity gains, and global market readiness.
Source: nguoinuoitom.vn
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