US Tariffs Challenge Indian Seafood Dominance

India's seafood exports, valued at USD 2.58 billion, face challenges due to US reciprocal tariffs. Major exporters like Ecuador and other Latin American countries are set to gain advantage. India competes with Canada, Ecuador, Indonesia, and Vietnam. The US market, crucial for India, may witness shifts due to these tariffs.

A recent study by the Federation of Indian Chambers of Commerce & Industry (FICCI) highlights significant challenges facing Indian seafood exports due to the newly imposed US reciprocal tariffs. Valued at USD 2.58 billion, India's exports of fish, meat, and processed seafood could be pressured under this new trade milieu.

The United States, which constitutes 34.5 percent of India's total seafood export value, is pivotal for the industry. Frozen shrimp, a leading export, accounts for 91.9 percent of the export value and 90.4 percent of the volume. The tariffs are poised to shake up previously established trade dynamics profoundly.

Competing with nations like Canada, Ecuador, Indonesia, and Vietnam, India now finds itself facing steep competition from Latin American countries. These nations are likely to gain market share due to advantageous tariffs. The FICCI report suggests Indian exporters face strong challenges in maintaining their foothold in the US market as domestic production is set to rise, coupled with enhanced competitiveness.

(With inputs from agencies.)