In recent years, Ecuadorian shrimp has emerged as a formidable competitor to its Indian counterpart, altering the dynamics of the global shrimp market. The primary factor contributing to this shift is the lower production cost in Ecuador, translating into more competitive pricing and a substantial increase in market share.

Just five years ago, Ecuadorian shrimp production stood at a modest 400,000 tonnes. Astonishingly, within this short span, it has skyrocketed to over one million tonnes. This surge in production has significantly altered the landscape of the shrimp industry, posing challenges to Indian shrimp farmers who have long been dominant players in international markets.

Indian shrimp, particularly the prawns grown in saltwater, has enjoyed immense popularity in foreign markets. European countries, China, and the United States have shown a keen interest in Indian shrimp, creating a boon for the country’s shrimp farmers. Over the past few years, shrimp has transformed the fortunes of many farmers who have transitioned from traditional paddy farming to shrimp cultivation, especially in the East and West Godavari districts of Andhra Pradesh.

India now boasts an annual shrimp production of about one million tonnes, with Andhra Pradesh contributing the largest share. The shrimp industry has become a ubiquitous presence in the East and West Godavari regions, where shrimp ponds equipped with aerators dot the landscape.

Aerators play a crucial role in shrimp farming by maintaining optimal levels of oxygen in the ponds. These devices ensure a constant flow of water, creating an environment conducive to shrimp growth. However, despite these technological advancements, the shrimp market has faced significant challenges in the last three to four years, adversely affecting the livelihoods of farmers.

The transformation of the local economy in coastal areas of Andhra Pradesh, such as Krishna and Nellore, began in the 1990s, with shrimp becoming a primary economic driver. Farmers abandoned traditional crops in favor of converting their land into expansive shrimp ponds. However, the recent increase in shrimp production costs and increased global competition have taken a toll on the once-thriving industry.

Shrimp experts highlight the drastic increase in the cost of shrimp feed over the past decade. A bag of shrimp feed, which was priced at Rs 800 a decade ago, now commands a price ranging from Rs 2700 to Rs 2800. Rising expenses, including shrimp seeds, medicines, land lease costs, and employee wages, have further strained the profitability of shrimp farming in India. Additionally, the higher electricity rates in Andhra Pradesh, compared to other states, contribute to the challenges faced by shrimp farmers in the region.