Business

From Thailand to Ecuador: A Tale of Two Shrimp Farmers

Published

11 years ago

September 25, 2013

Bchcomber

The disease, known as Early Mortality Syndrome (EMS), has for more than two years savaged Asia’s shrimp industry, including Thailand, Malaysia, Vietnam and China.

THAILAND – Driven to despair by a plague that has laid to waste young shrimps across east Asia, Suraphol Pratuangtham, a seafood farmer in southern Thailand, suspended operations at his ponds for more than three months over the summer.

“This year is the worst for our shrimp production in the past 30 years,” laments Mr Pratuangtham, who is also president of the Thai Marine Shrimp Farmers Association and expects Thailand’s 2013 exports to halve from its peak levels.

The disease, known as Early Mortality Syndrome (EMS), has for more than two years savaged Asia’s shrimp industry, including Thailand, Malaysia, Vietnam and China. But this year’s plunge in supplies from the region – which accounts for 80 per cent of global production – is the worst yet, and led to a sharp rise in global shrimp prices to a 12-year high.

The fall in exports, mostly of species such as white and tiger shrimp – known in the UK as king and tiger prawns – could cost the region’s seafood farming industry $1bn a year, according to the Global Aquaculture Alliance, a US-based trade group.

But 12,000 miles across the Pacific Ocean in Ecuador’s leading crustacean producing region of El Oro in the south west, Segundo Calderón, a shrimp fisherman for a quarter of a century, is having a stellar year. is revenuehave jumped 40 per cent in the past two months.

Shrimp is the most traded fish in the international market ahead of salmon and tuna, and EMS has opened the market for other producers, including Ecuador, Indonesia, India and Bangladesh, which have not been hit by the disease.

“We have experienced benefits in the pricing, also we are having very good production levels and more demand, particularly from the US. So the lack of Asian shrimp has benefited us,” says Mr Calderón.

Researchers believe EMS spreads through infected juvenile shrimp bought to stock ponds, as well as spreading through areas where high-density farms are built close together.

This is seen as one of the key factors behind the contrasting fortunes of Mr Calderón from Mr Pratuangtham in Thailand.

Ecuador opted for low-density shrimp farming after the outbreak in the late 1990s of the White Spot Syndrome, a disease which devastated the shrimp industry worldwide. The South American country now produces about 200,000 tonnes of shrimp a year using space totalling 190,000ha.

That contrasts with Thailand, which in a normal year would produce the same amount from ponds with a total area of only 60,000-70,000ha, according to Mr Calderón.

EMS – which was recently confirmed in Mexico – has led to a dramatic change in trade flows for shrimp. José Antonio Camposano, head of the Ecuador’s National Chamber of Aquaculture, notes the country has gained from the shifts in Asian demand caused by the disease as well as the rise of Chinese consumption.

He says Vietnam, which processes shrimp, now imports from Ecuador due to the lack of crustaceans from Thailand. “Until 4 years ago, Asia represented only 2-3 per cent of our exports while today that number stands at 17 per cent,” says Mr Camposano.

Exports to Asia have offset the drop in demand from recession-hit Europe. High prices have discouraged European packers from signing big contracts, and most European countries led by the largest importer Spain, have cut back on their imports in the past year.

“Asia has been filling the hole left by Europe. If not for Asia, we would have an excess of shrimp,” adds Mr Camposano.

Ecuador and other exporters have also been lifted by China, which has increased its imports in the face of rising in demand at a time its own production has been hit by EMS.

Despite slower economic growth and the government’s drive against lavish official spending, Chinese demand for shrimp has continued to grow strongly, with frozen shrimp imports rising 45 per cent in the first quarter from a year earlier, says the United Nation’s Food and Agriculture Organization.

“Although it will take many years before China becomes a net importer anywhere near the levels of the EU, US or Japan, it is clear that Chinese shrimp consumers are having an increasing impact on global shrimp markets,” says Gorjan Nikolik, an analyst at Rabobank.

As for Thailand, its shrimp farmers have received some good news during the past few months when the FAO announced that researchers from the University of Arizona had identified the bacterium responsible for the plague.

The question is how long it will take them to find a cure, and once it is found, what impact it will have on world markets, as the return of the leading exporters may mean a glut in supplies and a fall in prices.

For Mr Pratuangtham, the Thai shrimp farmer, that may be too far in the future. He has adopted a system of isolating his young shrimps in what he calls an “intensive care unit” pond and is one of many farmers hoping this devastating disease can be mitigated, if not yet eradicated.

“Next year will be better than this year,” he says, but adds mournfully: “We can’t get back to the good old days of 600,000 tonne production. That’s impossible.”

By Michael Peel in Bangkok

Business

PepsiCo Reduces Revenue Projections As North American Snacks And Key International Markets Underperform.

Published

2 months ago

October 8, 2024

Salman

(VOR News) – In the third quarter of this year, Pepsi’s net income was $2.93 billion, which is equivalent to $2.13 per share. This was attributed to the company.

This is in stark contrast to net income of $3.09 billion, which is equivalent to $2.24 per share, during the same period in the previous year. The company’s earnings per share were $2.31 when expenses were excluded.

Net sales decreased by 0.6%, totaling $23.32 billion. Organic sales increased by 1.3% during the quarter when the effects of acquisitions, divestitures, and currency changes are excluded.

Pepsi’s beverage sales fell this quarter.

The most recent report indicates that the beverage and food sectors of the organization experienced a 2% decline in volume. Consumers of all income levels are demonstrating a change in their purchasing habits, as indicated by CEOs’ statements from the previous quarter.

Pepsi’s entire volume was adversely affected by the lackluster demand they encountered in North America. An increasing number of Americans are becoming more frugal, reducing the number of snacks they ingest, and reducing the number of times they purchase at convenience stores.

Furthermore, Laguarta observed that the increase in sales was partially attributed to the election that occurred in Mexico during the month of June.

The most significant decrease in volume was experienced by Quaker Foods North America, which was 13%. In December, the company announced its initial recall in response to a potential salmonella infection.

Due to the probability of an illness, the recall was extended in January. Pepsi officially closed a plant that was implicated in the recalls in June, despite the fact that manufacturing had already been halted.

Jamie Caulfield, the Chief Financial Officer of Pepsi and Laguarta, has indicated that the recalls are beginning to have a lessening effect.

Frito-Lay experienced a 1.5% decline in volume in North America. The company has been striving to improve the value it offers to consumers and the accessibility of its snack line, which includes SunChips, Cheetos, and Stacy’s pita chips, in the retail establishments where it is sold.

Despite the fact that the category as a whole has slowed down in comparison to the results of previous years, the level of activity within the division is progressively increasing.

Pepsi executives issued a statement in which they stated that “Salty and savory snacks have underperformed year-to-date after outperforming packaged food categories in previous years.”

Pepsi will spend more on Doritos and Tostitos in the fall and winter before football season.

The company is currently promoting incentive packets for Tostitos and Ruffles, which contain twenty percent more chips than the standard package.

Pepsi is expanding its product line in order to more effectively target individuals who are health-conscious. The business announced its intention to acquire Siete Foods for a total of $1.2 billion approximately one week ago. The restaurant serves Mexican-American cuisine, which is typically modified to meet the dietary needs of a diverse clientele.

The beverage segment of Pepsi in North America experienced a three percent decrease in volume. Despite the fact that the demand for energy drinks, such as Pepsi’s Rockstar, has decreased as a result of consumers visiting convenience stores, the sales of well-known brands such as Gatorade and Pepsi have seen an increase throughout the quarter.

Laguarta expressed his opinion to the analysts during the company’s conference call, asserting, “I am of the opinion that it is a component of the economic cycle that we are currently experiencing, and that it will reverse itself in the future, once consumers feel better.”

Additionally, it has been noted that the food and beverage markets of South Asia, the Middle East, Latin America, and Africa have experienced a decline in sales volume. The company cut its forecast for organic revenue for the entire year on Tuesday due to the business’s second consecutive quarter of lower-than-anticipated sales.

The company’s performance during the quarter was adversely affected by the Quaker Foods North America recalls, the decrease in demand in the United States, and the interruptions that occurred in specific international markets, as per the statements made by Chief Executive Officer Ramon Laguarta.

Pepsi has revised its forecast for organic sales in 2024, shifting from a 4% growth rate to a low single-digit growth rate. The company reiterated its expectation that the core constant currency profitability per share will increase by a minimum of 8% in comparison to the previous year.

The company’s shares declined by less than one percent during premarket trading. The following discrepancies between the company’s report and the projections of Wall Street were identified by LSEG in a survey of analysts:

SOURCE: CNBC

Business

Old National Bank And Infosys Broaden Their Strategic Partnership.

Published

2 months ago

October 8, 2024

Salman

(VOR News) – Old National Bank, a commercial bank with its headquarters in the Midwest, and Infosys, a firm that specializes in information technology, have recently entered into a strategic expansion of their link, which has been in place for the past four years.

This expansion is more likely to take place sooner rather than later, with the likelihood being higher.

For the purpose of making it possible for Old National Bank to make use of the services, solutions, and platforms that are offered by Infosys, the objective of this expansion is to make it possible for the bank to transform its operations and processes through the application of automation and GenAI, as well as to change significant business areas.

This lets the bank leverage Infosys’ services, solutions, and platforms.

Old National Bank Chairman and CEO Jim Ryan said, “At Old National, we are committed to creating exceptional experiences for both our customers and our fellow employees.”

This statement is applicable to Old National Bank. Infosys is carefully managing the business process innovations that it is putting us through, putting a strong emphasis on efficiency and value growth throughout the process to ensure that it is carried out efficiently.

This is a routine occurrence throughout the entire operation. Because of Infosys’ dedication to our development and success, we are incredibly appreciative of the assistance they have provided.

Old National has been receiving assistance from Infosys in the process of updating its digital environment since the year 2020, according to the aforementioned company.

Ever since that time, the company has been providing assistance. The provision of this assistance has been accomplished through the utilization of a model that is not only powerful but also capable of functioning on its own power.

Infosys currently ranks Old National thirty-first out of the top thirty US banks.

This ranking is based on the fact that Old National is the nation’s largest banking corporation.

It is estimated that the total value of the company’s assets is approximately fifty-three billion dollars, while the assets that are currently being managed by the organization are valued at thirty billion dollars.

Dennis Gada, the Executive Vice President and Global Head of Banking and Financial Services, stated that “Old National Bank and Infosys possess a robust cultural and strategic alignment in the development, management, and enhancement of enterprise-scale solutions to transform the bank’s operations and facilitate growth.”

This remark referenced the exceptional cultural and strategic synergy between the two organizations. Dennis Gada is the one who asserted this claim. This was articulated explicitly concerning the exceptional cultural congruence and strategy alignment of the two organizations.

We are pleased to announce that the implementation of Infosys Topaz will substantially expedite the transformation of Old National Bank’s business processes and customer service protocols. We are exceedingly enthusiastic about this matter. We are quite thrilled about this specific component of the scenario.

Medium-sized banks operating regionally will continue to benefit from our substantial expertise in the sector, technology, and operations. This specific market segment of Infosys will persist in benefiting from our extensive experience. This phenomenon will enable this market sector to sustain substantial growth and efficiency benefits.

SOURCE: THBL

Business

American Water, The Largest Water Utility In US, Is Targeted By A Cyberattack

Published

2 months ago

October 8, 2024

kiaragrace

The largest regulated water and wastewater utility company in the United States stated Monday that it had been the target of a cyberattack, forcing the company to halt invoicing to consumers.

American Water, The Largest Water Utility In US, Is Targeted By A Cyberattack

American Water, based in New Jersey and serving over 14 million people in 14 states and 18 military facilities, said it learned of the unauthorized activity on Thursday and quickly took precautions, including shutting down certain systems. The business does not believe the attack had an impact on its facilities or operations and said employees were working “around the clock” to determine the origin and scale of the attack.

water

The corporation stated that it has alerted legal enforcement and is cooperating with them. It also stated that consumers will not be charged late fees while its systems are unavailable.

According to their website, American Water operates over 500 water and wastewater systems in around 1,700 communities across California, Georgia, Hawaii, Illinois, Indiana, Iowa, Kentucky, Maryland, Missouri, New Jersey, Pennsylvania, Tennessee, Virginia, and West Virginia.

SOURCE | AP