Japanese Scallop Prices in Busan, Korea, Plunge to Fresh 19-Month Low

During the week starting July 31st 2023, Japanese common scallop wholesale prices in Busan, South Korea dropped to their lowest level since January 2022, likely as a result of shrinking demand on the back of growing concern over the release of the Fukushima plant wastewater.
During the week starting July 31, 2023, Japanese common scallop wholesale prices in Busan, South Korea dropped by 29% week-over-week (WoW), 18% month-over-month (MOM) and 16% year-over-year (YoY) to KRW 3,763/kg, their lowest level since Jan-22. This could be the result of shrinking demand on the back of growing concerns over the release of the Fukushima plant wastewater. In fact, imports of seafood products (HS code 03) from Japan dropped in June by 35% YoY to 1.91 thousand mt, the lowest level for June since at least 2017. It was also the sharpest YoY drop since Apr-20, when the Covid-19 pandemic started. Adding to the bearishness, Japanese exporters are facing further obstacles to sell due to worries over the impending release of the Fukushima wastewater. This has been more pronounced in China than in Korea, but in any case, it could leave Japan with more scallops to sell, thus lowering prices. It is still early to see the overall effects of releasing Fukushima wastewater as the process will take years. For now, it is clearly affecting short-term demand.