Chinese Eel Farmers Lose Up to 20,000 Yuan per Ton!

Eel farming is going through a new low-price cycle. Zhang Jiaolin, Executive President of the Fujian Eel Industry Association, said in a recent interview with Eel Network that current eel market prices are generally below farming costs, with farmers losing about 8,000 to 20,000 yuan per ton. Increased fry supply, rising feed costs and weak domestic consumption are together squeezing farming profits.

According to the farming cost breakdown provided by Zhang Jiaolin, the overall farming cost for eel is currently about 50,000 yuan/ton, while the market selling price is about 40,000 yuan/ton. Rising feed costs are one of the major pressures. Previously, the feed cost of farming one ton of eel was about 20,000 yuan, but it has now risen to 30,000 yuan. Fishmeal prices have also risen from 13,000 yuan per ton to 26,000 yuan. Although eel fry prices fell somewhat in 2025, higher feed costs have offset part of the cost advantage brought by cheaper fry.

A concentrated release of output has further intensified price pressure. Zhang Jiaolin said that the global total of Japanese eel fry in 2025 was about 120 tons, and increased fry supply will drive up farming output in 2026. The Japanese eel farming cycle is usually two to three years, about half a year faster than the American eel, so the impact of an abundant fry supply on commercial eel supply also appears earlier. Large-scale stocking in the earlier period ultimately translated into a concentrated market release of commercial eel, while the market's absorption capacity has not expanded in step.

Weak consumption has made the supply-demand imbalance more prominent. Zhang Jiaolin said that in the 8 days around National Day last year, eel consumption was close to 4,000 tons, while this year it is expected to be only more than 2,000 tons; daily domestic consumption of dish eel has also fallen from about 500 tons in the past to around 300 tons. With farming output increasing while holiday consumption has clearly declined, price pressure is no surprise.

In Zhang Jiaolin's view, controlling the scale of fry stocking is an important step for the industry to emerge from the trough. He used historical export data to illustrate: in 2001, mainland China exported more than 70,000 tons of grilled eel to Japan, with a trade value of about 80 billion yen; in 2012, export volume was about 11,000 tons, and trade value was still about 80 billion yen. A sharp increase in export volume did not bring corresponding growth in trade value. Simply expanding output cannot raise the value of the industry; only by reasonably controlling fry stocking and avoiding concentrated expansion of production will there be a chance to improve supply-demand relations.

Farming size also affects the market structure. Zhang Jiaolin noted that the farming size of eel in Fujian has tended to be larger in recent years, with the market shifting from previously farming more 3P size to mainly 500-gram 2P size. There are price differences among commercial eels of different sizes; according to his introduction, the price gap is about 10,000 to 15,000 yuan per ton. Concentration in size may also cause insufficient supply of some traditional sizes or changes in market demand, and farmers need to arrange farming cycles according to orders and sales channels rather than only pursuing single-fish weight.

Fry resource management is another key issue. Zhang Jiaolin said that in the past two years, the Ministry of Agriculture and Rural Affairs has organized relevant institutions to carry out surveys in major eel fry production areas such as Guangdong, Fujian, Zhejiang, Shanghai and Jiangsu, and, with reference to Japan's quota fishing system, to study measures such as fishing areas, timing, longitude and latitude, designated management, designated landing and designated trading. He hopes that a quota fishing management measure for Japanese eel can be introduced in 2027 to strengthen fry traceability by regulating fishing and circulation links.

This work concerns not only domestic eel fry resource management but also international market attention to the sustainable use of eel resources. For the eel industry, whether fry sources, fishing volumes and circulation records can form a complete chain will affect the industry's long-term operations and export compliance.

Export markets remain an important support for Chinese eel. Zhang Jiaolin said that Japan's annual eel demand is about 70,000 tons, its domestic output is about 20,000 tons, and mainland China supplies about 50,000 tons of grilled eel and live eel. He believes that procurement in the Japanese market is relatively stable this year, but there is still considerable room for improvement in the domestic consumer market. Export markets can absorb a considerable part of output, but it is difficult for them alone to resolve the supply-demand pressure after the expansion of domestic farming scale.

The key to expanding domestic sales lies in changing the consumption scenarios for eel products. Currently, grilled eel sales rely heavily on specific channels such as Japanese restaurants, and the consumer group and usage scenarios are relatively limited. Zhang Jiaolin proposed introducing eel into hot pot, barbecue and local specialty dishes, and using beer festivals, hot pot festivals and local food events to carry out tastings, on-site grilling and product promotion, so that consumers can encounter more ways of cooking eel.

He proposed that if domestic eel consumption increases by 20,000 to 30,000 tons per year, the industry's ability to support prices will improve significantly. This judgment reflects his expectations for the domestic sales market, but whether consumption growth can be achieved still depends on product prices, channel coverage, processing suitability and consumer acceptance. For eel to enter mass catering channels such as hot pot and barbecue, it is also necessary to develop sizes, packaging and processed products suitable for different scenarios, rather than simply moving existing grilled eel products to a different sales venue.

Zhang Jiaolin also reminded farmers to plan their finances well. Eel is a high-investment, high-risk farming species. During low-price periods, if the capital chain is too tight, bank loan withdrawal or delays in sales payments could both intensify operational risks. The scale of fry stocking should match one's own financial strength; farmers should not put all their funds into farming, and certainly should not rely on continuous expansion of scale to dilute costs when the market is weak.

From the information disclosed in this interview, the eel industry is not facing a single price problem, but a mismatch among fry supply, farming cycles, commercial sizes, feed costs and consumption capacity. After commercial eel is concentrated on the market in 2026, whether farmers can control a new round of fry stocking and maintain financial safety will directly affect operating pressure in the next farming cycle.