Key Points

Andhra Pradesh Chief Minister N. Chandrababu Naidu has urgently appealed to the Centre for support as aqua farmers face severe distress from US tariffs. The state accounts for 80% of India's shrimp exports, supporting 2.5 lakh farmer families and 30 lakh allied workers. Naidu has written to multiple Union ministers requesting financial relief, GST waivers, and export market diversification. He also proposed measures to boost domestic consumption and improve infrastructure to help farmers survive this crisis.

Key Points: Chandrababu Naidu Urges Centre Support for Andhra Aqua Farmers Hit by US Tariffs

  • Andhra Pradesh accounts for 80% of India's shrimp exports worth Rs 21,246 crore annually
  • US tariffs caused 50% export order cancellations affecting 30 lakh dependent people
  • CM requests 240-day loan moratorium and 5% GST waiver on frozen shrimp
  • Seeks FTAs with EU, South Korea and Russia to diversify export markets
3 min read

Andhra CM urges Centre to support aqua farmers hit hard by US tariffs

Andhra CM seeks financial relief, GST waivers, and export diversification for aqua farmers facing Rs 25,000 crore losses from US tariffs. State accounts for 80% of India's shrimp exports.

Andhra CM urges Centre to support aqua farmers hit hard by US tariffs
"Losses are estimated at Rs 25,000 crore, with about 50 per cent of export orders cancelled - N. Chandrababu Naidu"

Amaravati, Sep 15

Andhra Pradesh Chief Minister N. Chandrababu Naidu has appealed to the Centre to support aqua farmers in the state who are facing severe distress due to the tariffs imposed by the US.

He urged the Union government to make decisions at the national level to protect aqua farmers from losses. The CM also requested measures to increase domestic consumption of aqua products.

Chandrababu Naidu, whose Telugu Desam Party is a key partner in the BJP-led NDA government at the Centre, has written separate letters to Union Finance Minister Nirmala Sitharaman, Commerce and& Industry Minister Piyush Goyal, and Fisheries Minister Rajeev Ranjan Singh.

He requested the Finance Minister to look into issues such as GST and financial relief, the Commerce & Industry Minister to pursue agreements with other countries in the aqua sector, and the Fisheries Minister to focus on expanding the domestic market.

The CM pointed out that aqua farmers and families dependent on the sector in Andhra Pradesh are facing hardships. He also explained the measures currently being taken by the state government.

Andhra Pradesh accounts for 80 per cent of the country’s shrimp exports and 34 per cent of marine exports, with exports valued at around Rs 21,246 crore annually. About 2.5 lakh aqua farmer families and 30 lakh people dependent on allied sectors are in difficulty.

The Chief Minister stated that US tariffs have had the greatest impact on shrimp exports. Losses are estimated at Rs 25,000 crore, with about 50 per cent of export orders cancelled. Nearly Rs 600 crore in tariff burden has fallen on about 2,000 containers being exported. The CM noted that the state government has already initiated relief measures -- for example, after discussions with feed producers, aqua feed MRPs have been reduced by Rs 9 per kg, and subsidised supply of transformers is also being considered.

The CM requested bank support for exporters and aqua companies, including a 240-day moratorium on loan and interest repayments, interest subsidies, and a temporary waiver of the 5 per cent GST on frozen shrimp.

He also urged the Centre to focus on diversifying export markets beyond the US. He suggested entering into Free Trade Agreements (FTAs) with the European Union, South Korea, Saudi Arabia, and Russia to boost exports. The CM also sought interim financial support for exporters, clarity on tariff/tax relief schemes, and noted that exporters were ready to supply seafood to the EU.

The CM stressed the need to expand the domestic aqua market. He requested a Rs 100 crore corpus fund, establishment of cold storages, hygienic fish and seafood markets, and said that the state government is ready to set up the Andhra Pradesh Shrimp Producers Coordination Committee to facilitate direct farmer-to-market supply chains.

He also called for awareness campaigns to promote seafood consumption, pointing out that aqua products are rich in protein and highly nutritious. At present, per capita seafood consumption in India is only 12-13 kg per year, compared to the global average of 20-30 kg. Increasing seafood consumption would not only improve public health but also provide crucial support to aqua farmers, the CM said.

To improve transportation, he requested the Centre to run dedicated trains for shipping aqua products from South India to various parts of the country. He also urged that fishermen be provided one-time top-up loans of Rs one lakh under Kisan Credit Cards, and that processing, packaging, and cold-chain facilities be strengthened through FIDF to enhance competitiveness in new markets.

The CM also requested that the regional offices of research institutions such as ICAR-CIBA and ICAR-NBFGR be established in Andhra Pradesh.

- IANS

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Reader Comments

S
Sarah B
Good to see the CM taking proactive steps. The focus on domestic consumption is crucial - we Indians should consume more seafood given its nutritional benefits. The per capita consumption numbers are quite low compared to global standards.
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Priya S
As someone from coastal Andhra, I've seen firsthand how these tariffs are affecting local communities. The government's relief measures like reducing feed prices are helpful, but more needs to be done. Loan moratorium is essential right now.
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Michael C
While I support the farmers, I hope the government also focuses on sustainable aquaculture practices. We need to balance economic support with environmental considerations for long-term viability.
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Ananya R
The diversification strategy is smart! Instead of relying only on US market, we should explore EU, Middle East and other regions. FTAs with these countries could really help our exporters. 👍
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Karthik V
Rs 25,000 crore loss is massive! This affects not just farmers but the entire supply chain. The Centre should act quickly - these are people's livelihoods at stake. The dedicated train idea for transportation is particularly good.
R
Rahul R
While I appreciate the CM's efforts, I wish state governments would also develop contingency plans for such situations. Over-dependence on any single export market always carries risks. Better planning needed for future.

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