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India's Seafood Crisis: How US Tariffs Forced Exporters to Rethink Strategy

India's seafood industry is facing a major challenge with new US tariffs making exports less competitive. Exporters are now looking to diversify markets toward Asian countries showing strong growth. The industry is focusing on creating higher-value products like ready-to-eat fillets to boost revenue. Stakeholders are developing a policy roadmap to address these urgent trade challenges.

Key Points: Indian Seafood Exporters Seek Market Diversification Amid US Tariffs

  • US seafood exports dropped 6% amid 58% effective tariff rates
  • China, Vietnam and Thailand emerge as growing alternative markets
  • Industry pushes for high-value products like breaded squid and surimi
  • Fast-tracking FTAs and creating aquaculture zones recommended
2 min read

Seafood exporters seek market diversification, value addition amid US tariff blow

Indian seafood industry faces 58% US tariffs, pushing exporters toward Asian markets and value-added products to sustain $742 million export business.

"Combined with anti-dumping and countervailing duties, the effective tariff now stands at 58.26 per cent, sharply eroding India's competitiveness - Dr Ram Mohan, MPEDA"

Kochi, Nov 5

India’s seafood industry is bracing for a major hit following the recent hike in US tariffs, with stakeholders and policymakers calling for urgent market diversification, stronger value addition, and technology-led innovation to sustain export momentum.

The issue dominated discussions on Wednesday at the Industry Meet held on the sidelines of the fourth International Symposium on Marine Ecosystems (MECOS 4) at the ICAR-Central Marine Fisheries Research Institute (CMFRI).

Marine Products Export Development Authority (MPEDA) Director, Dr Ram Mohan, said India’s seafood exports to the US -- its largest market -- fell nearly 6 per cent during April–September 2025.

Meanwhile, shipments to China, Vietnam, and Thailand showed robust growth, signalling a gradual realignment towards Asian markets. "Combined with anti-dumping and countervailing duties, the effective tariff now stands at 58.26 per cent, sharply eroding India’s competitiveness in its top export destination," Dr Mohan said.

Emphasising the need for innovation, ICAR-Central Institute of Fisheries Technology (CIFT) Director, Dr George Ninan, said a technology-driven startup ecosystem integrating researchers, technologists, and industry players is vital for driving product innovation and value enhancement.

The meet recommended reprocessing and producing high-value seafood products such as breaded squid rings, surimi, and ready-to-eat fillets to boost revenue. India’s value-added seafood exports currently stand at $742 million, far behind competitors like China, Thailand, Vietnam, Ecuador, and Indonesia.

Delegates urged the creation of exclusive aquaculture zones and the fast-tracking of Free Trade Agreements (FTAs) to regain global competitiveness.

"The US has long been India’s largest shrimp market, but the new tariff regime, coupled with sustainability and traceability concerns, has disrupted trade flows and hurt export earnings," said A.J. Tharakan of the Seafood Exporters Association of India.

CMFRI Director Dr Grinson George said stakeholder concerns from exporters and fish farmers to feed manufacturers will be compiled into a policy roadmap emerging from MECOS deliberations.

The session was coordinated by Dr Joe K. Kizhakudan.

- IANS

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Reader Comments

R
Rajesh Q
Good that they're discussing this seriously. Our seafood industry employs lakhs of people, especially in coastal states. Government should fast-track FTAs and provide better support to exporters. The startup ecosystem idea sounds promising!
M
Michael C
While diversification is important, I hope we're not rushing into new markets without proper quality checks. We need to maintain our reputation for quality seafood. The sustainability concerns mentioned are valid and need addressing.
A
Ananya R
Breaded squid rings and ready-to-eat products could really boost our domestic market too! Why always focus on exports? We should develop our own processed seafood industry for Indian consumers. 🦐
S
Siddharth J
The $742 million value-added exports figure shows how much potential we're missing. China and Thailand are way ahead. We need more investment in processing technology and better cold chain infrastructure.
N
Nisha Z
Hope the policy roadmap includes support for small fish farmers. They're the backbone of this industry but often get overlooked in these high-level discussions. Inclusive growth is important for long-term sustainability.

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