Seafood Exporters Advocate for Value Addition and Market Diversification in Face of US Tariff Challenges
India’s seafood export sector faces significant challenges due to recent tariffs imposed by the United States. This situation has prompted industry leaders to call for urgent measures focused on market diversification, enhanced value addition, and the implementation of innovative technologies.
Market Dynamics Shift
These concerns were highlighted during an Industry Meet held alongside the fourth International Symposium on Marine Ecosystems (MECOS 4) at the Central Marine Fisheries Research Institute in Kochi. Exports to the U.S., which is India’s largest seafood market, have declined nearly 6% between April and September 2025. In contrast, exports to countries like China, Vietnam, and Thailand have seen significant growth, indicating a shift in trade dynamics.
Tariff Impacts and Industry Response
- The effective tariff on Indian seafood exports to the U.S. now stands at 58.26%.
- This increase includes anti-dumping and countervailing duties, adversely affecting India’s competitiveness.
- Ram Mohan, director of the Marine Products Export Development Authority (MPEDA), highlighted the urgent need for a technology-driven startup ecosystem in the sector.
George Ninan, director of the Central Institute of Fisheries Technology, emphasized the importance of integrating efforts across various stakeholders, including researchers, technologists, and policymakers. This collaboration aims to foster innovation and promote value addition in seafood products.
Strategies for Revitalization
The Industry Meet proposed several strategies to revitalize the sector:
- Focus on re-processing and developing high-value products to increase export revenue.
- Move beyond bulk raw seafood exports and explore value-added products like breaded squid rings and ready-to-eat seafood fillets.
- Establish exclusive aquaculture zones and fast-track Free Trade Agreements (FTAs) to regain a competitive edge in international markets.
Challenges Ahead
The U.S. has traditionally been the largest market for India’s shrimp exports, which make up a significant portion of the country’s seafood trade. However, the new tariff regime, along with sustainability and traceability challenges, has disrupted trade flows, adversely affecting export earnings. A.J. Tharakan from the Seafood Exporters Association of India highlighted these pressing issues during the meet.
Industry representatives, including those from seafood export, shrimp production, fish meal production, aqua feeds, and coastal ecotourism, attended the meeting to discuss these critical challenges and potential solutions. The collaboration among various stakeholders is crucial for steering the industry towards a more resilient and diversified future.
