Seafood Exporters Urge Govt Support as US Tariffs Hit Industry
India’s seafood industry, worth a staggering ₹60,000 crore, is battling a harsh reality as US tariffs continue to bite. The industry, which relies heavily on exports to the US, is reeling under the impact of tariffs imposed on Indian seafood products, including shrimp, fish, and other marine delicacies. The total duty impact is a whopping 35%, making it challenging for exporters to maintain their market share and stay afloat.
The US is India’s largest market for seafood exports, accounting for over 40% of the country’s total seafood exports. However, with tariffs in place, Indian exporters are finding it increasingly difficult to compete with rival countries like Ecuador, which faces lower tariffs. This has led to a sharp decline in Indian seafood exports to the US, causing a significant dent in the industry’s overall performance.
Exporters are now urging the government to provide support to help them overcome these short-term challenges and ensure the survival of the sector. “The tariffs imposed by the US have severely impacted our industry, and we need the government’s assistance to stay competitive,” said Pawan Kumar, a leading seafood exporter. “We are facing stiff competition from Ecuador, which has a lower duty structure, and if we don’t get support, we risk losing our market share and even our business.”
The Indian seafood industry is a significant contributor to the country’s economy, providing employment to millions of people, primarily in coastal regions. The industry is also a major source of foreign exchange earnings, with exports valued at over ₹20,000 crore in the last fiscal year alone.
However, the industry has been facing a series of challenges in recent years, including declining fish stocks, strict regulations, and competition from rival countries. The US tariffs have only added to the woes, making it even more challenging for Indian exporters to maintain their market share.
In an effort to mitigate the impact of tariffs, exporters are looking to diversify their markets and explore new opportunities. “We are actively exploring new markets, including the European Union, Japan, and Southeast Asia, to reduce our dependence on the US market,” said Kumar. “However, this will take time, and we need the government’s support to help us navigate these challenges and stay competitive.”
The government, too, has taken cognizance of the industry’s plight and is working to provide support. “We are aware of the challenges faced by the seafood industry due to the US tariffs, and we are working to provide assistance to help them overcome these challenges,” said an official from the Ministry of Commerce and Industry.
The government is considering a range of measures, including providing subsidies to exporters, reducing regulatory hurdles, and promoting branding and marketing initiatives to help Indian seafood products stand out in the global market.
In addition, the government is also working to strengthen the industry’s value chain, including improving fish processing facilities, enhancing logistics, and promoting sustainable fishing practices. “We are committed to supporting the seafood industry and ensuring its survival and growth,” said the official.
As the industry continues to grapple with the impact of US tariffs, exporters are urging the government to act swiftly to provide support. “The government needs to take immediate action to help us overcome these challenges and ensure our survival,” said Kumar. “If we don’t get support, the industry will continue to decline, and we risk losing our market share and even our business.”
The Indian seafood industry is a vital sector that provides employment and income to millions of people, primarily in coastal regions. It is essential that the government provides support to help the industry overcome the challenges posed by US tariffs and ensure its long-term survival and growth.
Source: https://www.thecore.in/business/tariffs-seafood-india-united-states-shrimp-pawan-kumar-840726
