June 25, 2013

India's seafood exports hit all-time high in 2012-13

For 2012-13, India's seafood export has reached an all-time high of 928,215 tonnes, at INR18,856 crore (US$3.2 billion), representing a 7.68% increase in quantity and 13.6% rise in value.

However, in dollar terms, the total value at US$3,512 million showed only a marginal growth of 0.1%. The poor growth in dollar terms is due to a sharp decline in the unit value of the marine products. The exports did not fetch high prices it did in the previous year,'' said Leena Nair, chairman of Marine Products Export Development Authority (MPEDA).

Leena Nair said increase in export should be viewed in the light of weaker economic conditions in EU, continuing anti-dumping duty and the possibility of countervailing duty on frozen shrimp in the US, where the economy has yet to improve fully, moderate growth in China, technical barriers to trade by Japan and the fluctuating Indian rupee. Supply condition in other countries has also recovered last year.

Frozen shrimp was the top performer accounting for over 51% in the total seafood export value. Though its value showed almost 19% increase, frozen shrimp recorded the steepest fall in unit value realisation at 14%. In terms of quantity, frozen fish had the largest share of 37% at 343,876 tonnes.

With most economies still struggling, South East Asia continued to be the largest buyer of Indian seafood with a share of 23% in value, followed by EU at 22% and the US at 21%.

MPEDA has set a target of US$4.3 billion export for the current year. Though its achievement will depend on several international issues, the fall in rupee value and a disease outbreak in shrimp farms in Thailand, may bode well for Indian seafood export.