August 15, 2025

 

India urges seafood exporters to explore new markets, boost value addition as US tariffs rise

Indian authorities have advised seafood exporters, facing a cumulative 59% tariff in the United States, to bravely confront current challenges by diversifying into alternative overseas markets and increasing domestic supplies.

 

Following a meeting with industry representatives, Fisheries Minister Rajiv Ranjan Singh Lalan said the European Union, Japan, South Korea, Russia, and other destinations offer potential opportunities for Indian seafood shipments.

 

He noted that the recently signed India–UK Free Trade Agreement also contains provisions for the fisheries sector.

 

Singh encouraged exporters to make use of the Fisheries Infrastructure Development Fund to upgrade value-addition, processing, and packaging capabilities.

 

India's seafood exports stood at US$7.38 billion in Financial Year (FY) 25, with the US accounting for US$2.8 billion—primarily frozen Vannamei shrimp.

 

Andhra Pradesh, the country's largest shrimp exporter with a 60 % share, has been particularly affected by the higher duties.

 

According to state fisheries commissioner Rama Shankar Naik, the effective US tariff on Indian seafood now stands at 59.71 %, including countervailing duties (5.76 %), anti-dumping duties (3.96 %), and a 50 % levy announced by US President Donald Trump.

 

Naik also cited a fall in India's share of EU seafood imports—from around 35 % earlier to 11 %—due to concerns over residue levels and consignment rejections.

 

Industry representatives warned that the tariff regime puts Indian seafood at a competitive disadvantage compared to suppliers such as Ecuador (15 % tariff), Vietnam (20 %), and Thailand (19 %). KN Raghavan, secretary general of the Seafood Exporters Association of India (SEAI), urged the Centre to extend financial support to help exporters weather the crisis.

 

Exporters have also sought the removal of India's 30 % import duty on seafood, except for certain varieties such as Vietnamese basa and sardines from Gulf countries, to protect domestic fishing communities.

 

Bilateral agri-trade between India and the US was valued at US$6.6 billion in 2024, with India exporting US$5 billion worth of agricultural goods and importing US$ 1.5 billion.

 

-      Knowledge and News Network