Giant Squid Fillet Prices Hit All-time Low

   The recent price drop in giant squid fillet is not due to a single factor, but rather the convergence of several accumulated factors: on one hand, Peruvian fishing continues to focus on large-sized catches; on the other hand, the inventory pressure in domestic cold storage has not been effectively released. The supply and demand have not found an equilibrium, making it difficult for prices to stabilize.

   Several Peruvian exporters reported to Chinese buyers after the Qingdao Fisheries Expo that most factories have run out of raw materials for further processing and can only slowly sell off their remaining large-sized inventory. Except for occasionally hearing quotes for 2-4kg cut squid products, other sizes are almost completely sold out.

   However, the domestic market is driven by consumption, not by the availability of Peruvian. This year, large-sized squid have suddenly flooded the market, while domestic processing companies prefer smaller and medium-sized squid. With inventory piling up, the price of large-sized squid is inevitably under pressure, and the drop below 20,000 yuan/ton is a logical consequence.

   Meanwhile, in the past two weeks, domestic deep-sea fishing fleets have been gradually shifting from Peruvian waters to equatorial regions. The squid sizes after the shift are significantly smaller, with fishing vessels reporting daily catches of only a few tons, mainly medium-sized and smaller. Logically, smaller sizes should always be in high demand, but the problem is that "the volume is not large enough to drive the overall market." In addition, fishing boat production fluctuates greatly, and traders are hesitant to stockpile in advance, so these smaller sizes have not provided stable support for overall prices.