Despite being hit by the high US tariff last year, India’s marine products exports increased 14% year-on-year to a record $8.43 billion last fiscal, thanks to a surge in shipments to several new markets such as Europe and Southeast Asia, an official said.
“Initially under pressure from a higher tariff by the US, our biggest export destination, shipments to Europe, China, Vietnam and Russia increased sharply last fiscal thus leading to a sharp spike in exports,” KN Raghavan, Secretary General, Seafood Exporters Association of India (SEAI) told FE.
Devaluation of Rupees against Dollar and the opening up of the European Union (EU) markets also helped diversify marine products in several countries, trade sources said.
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Market Diversification
According to officials, there has been a significant growth in marine products exports to countries including Russia , Canada, Thailand, Germany, UK, Belgium and Japan. “Non-US markets emerge as the new growth engine,” according to an official note.
“An official said despite global price pressures, recessionary trends in the US, and volatile logistics conditions, India’s marine sector demonstrated strong resilience.
India’s seafood exports, mostly frozen shrimp, were $ 7.45 billion in FY25, with the United States having a share of 35% ($ 2.8 billion). The bulk of the country’s seafood exports to the US is ‘Vannamei Shrimp’.
Last fiscal, the EU had approved 102 additional fishery units for shipments, bringing the total approved units to 604. The EU is the third-largest seafood export destination for India after China, accounting for 15.10% of India’s total exports in FY25.
Trade officials had stated that the marine products exports to the EU, is likely to double over the next few years while currently annual shipment is valued at around $ 1 billion. Last fiscal the shipment of marine products was over $ 1 billion.
Navigating Tariffs
In September last year, industry officials said the seafood exports have been ‘hit hard’ as effective duties imposed by the US have been increased to 59.71% which includes countervailing (5.76%) and anti-dumping duties (3.96%) along with a 50% tariff announced for India by President Donald Trump.
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Subsequently Washington has announced tariff reduction to 18%.
The tariff by the US had put Indian seafood at a major disadvantage compared to competitors like Ecuador (15%), Vietnam (20%), and Thailand (19%) tariff.
Crisil Ratings last year had stated that India’s shrimp exports hit by US tariff is likely to decline by 15% to 18% last fiscal.
TOPICSexportsThis article was first uploaded on April seventeen, twenty twenty-six, at fourteen minutes past seven in the evening.