Mexican Shrimp

Currently, about 10 percent of global large shrimp production is considered improving. The large shrimp sector includes farmed shrimp, wild warmwater shrimp, and larger coldwater shrimp, such as Argentine red shrimp and spot prawns. Species are typically larger than 100 shrimp per pound in body size. About two-thirds of global large shrimp production is farmed.

Although wild-caught shrimp are not the main source of global supply in the large-shrimp sector, the Mexican Pacific shrimp fisheries (contributing only around 1 percent of global production in the sector) are an important source for the United States, one of the major markets for large shrimp.

For 2022-2023, SFP has advised the Supply Chain Roundtable participants of the following actions that must be taken to fully implement control documents:

1. Before the shrimp harvest season begins, US importers must ensure that every level of their supply chain has signed the relevant letter of warranty, in which the supply chain actors pledge to abide by all relevant regulations and agree to cooperate with audits. This may include exporters, brokers/traders, processors, and producer companies/organizations.
2. Before the shrimp harvest season begins, US importers must contract with a third-party audit provider for the upcoming season and develop a plan for the audits, including the scope (i.e., producers and processors to be audited) and the timing (i.e., when the audits will occur). Audits must include the verification of regulatory compliance for 100 percent of the product lots purchased by the importer and should cover the entire supply chain, including importer, exporter, processors, and producers, as follows:
   • Audits to verify proper gear configuration will be conducted through a review of fishing gear dimensions/specifications as reported by the producer and/or copies of invoices for gear materials purchased (exact information required will be determine by the auditor). These remote audits must be conducted for 50 percent of industrial vessels and 100 percent of artisanal cooperatives. Information should be submitted to the auditor at the beginning of the harvest season.
   • Audits to verify large-scale fleet compliance with fishing ground restrictions will be conducted by reviewing the satellite tracking system (SISMEP) data for the dates coinciding with trips sold to the importer. A minimum of 50 percent of industrial vessels in each supply chain must be audited each year, and will be selected by the auditor. Vessel selection may be random or targeted (i.e., focusing on vessels with past compliance issues). The timing of these audits will depend on when CONAPESCA releases the SISMEP data.
   • All industrial vessels must submit to SFP a copy of the TED (DET) certificate issued by PROFEPA before the fishing season begins.
   • Audits to verify the chain of custody, including arrival notices, waybills, processing reports, and purchase/sale invoices, will be based on a paperwork review in which auditors will scan for inconsistencies in information. For product lots with inconsistencies, the auditor may request additional information or even an in-person visit to the plant. Audits of small-scale fleet production should be conducted around the end of the calendar year, when all small-scale shrimp harvest activity is complete for the season. Audits of the large-scale fleet should be conducted midway through the season (December/January) and at the end of the season (March/April). Final audits to reconcile all shipments may occur after the season is over, if needed.
3. When audits are complete, the auditor provides a final report to the importer containing very specific information about: 1) when and where the audits occurred, including names of vessels, producer companies/organizations, processing plants, and the total volume of product purchased; 2) the results of the audits; and 3) recommended corrective action if any issues were identified.
4. The importer then takes corrective actions in response to issues identified in the audit report. These corrective actions could include, but are not limited to: 1) official warning to a producer company/organization or processor that a violation or suspicious activity was documented and will not be tolerated in the future; 2) non-renewal of purchasing agreement for the next season; or 3) immediate termination of purchasing agreement.

Each Mexican Shrimp SR participant agreed to the above requirements upon joining the SR.