In the fiscal year 2023-24, India’s marine product exports experienced a contraction of 8.74%, falling to USD 7.37 billion. This decline, as reported by the commerce ministry, is attributed to a slowdown in demand from key markets such as the US and Europe. In contrast, the previous fiscal year, 2022-23, saw shipments valued at USD 8 billion.

Factors Contributing to the Decline

Several factors contributed to the reduced export figures. Notably, a demand slowdown, coupled with high inflation in developed economies, played a significant role. Additionally, increased exports of frozen shrimp from Ecuador to America added competitive pressure on Indian shrimp exports.

Yogesh Gupta, Managing Director of Megaa Moda, highlighted the impact of the US imposing anti-dumping duties on Ecuadorian shrimp. This development is expected to create a more competitive environment in the US market, with Indian shrimp potentially benefiting from this change.

Optimistic Outlook for 2024-25

Despite the recent decline, Indian exporters remain optimistic about the future. Gupta noted that order books are currently healthy, expressing confidence that 2024-25 will see a resurgence in marine exports. This optimism is based on the expectation that Indian shrimp will effectively compete with Ecuadorian products in the US market.

The fiscal year 2022-23 marked a record for India’s seafood exports, with 1,735,286 metric tons of seafood valued at USD 8.09 billion. Frozen shrimp dominated these exports, earning USD 5.48 billion and constituting 67.72% of the total earnings in dollar terms. In terms of volume, frozen shrimp exports were pegged at 711,099 metric tons.

Major Importers of Indian Shrimp

The United States and China emerged as the major importers of Indian seafood during 2022-23. The US alone imported 275,662 metric tons of frozen shrimp, valued at USD 2.4 billion. China followed with imports of 145,743 metric tons.

India boasts around 100,000 shrimp farms, primarily located in Andhra Pradesh. The country’s top export destinations for shrimp include the US, Europe, China, Japan, Vietnam, and Thailand. Besides frozen shrimp, other key marine export products include frozen fish and frozen squid.

Future Growth Projections

Looking ahead, India aims to boost its seafood exports to USD 12.02 billion within the next two years. This ambitious target involves increasing processing capacity and shifting towards higher value-added products. With strong order books and competitive pricing, Indian exporters are hopeful for a significant rebound in the coming fiscal years.