Key Highlights:
- India is the world’s second-largest aquaculture producer after China and one of the largest exporters of seafood in the world. Shrimp production, riding on a paradigm shift from native species such as the Black Tiger to Vannamei shrimp, grew by 255% over the last decade with production of 11.6 lakh MT in FY23 as against 3.3 lakh MT in FY14.
- Shrimp exports, which constitute around 70% of India’s marine exports, have grown remarkably in the last decade ending FY23 by 136% in volume (MT) terms and 122% in value terms (INR). In FY24, the shrimp industry in India witnessed a divergence from the trend with a moderation of around 10% in exports in INR terms, majorly due to international pricing pressure.
- India, Ecuador, Vietnam, Indonesia, Thailand, and China largely dominate the global shrimp export market. These six countries have a combined market share of around 75% by value in USD terms and around 74% in volume terms in the total export market in CY22. The global shrimp export market grew at a compounded annual growth rate (CAGR) of 4.90% in the last 10 years to US$24,600 million in CY22 from US$15,262 million in CY13, mainly driven by an increase in volumes from 1.88 million tonnes to 2.37 million tonnes.
- India exported about 60-70% of its shrimp production and held its position as the largest exporter in value terms (USD) till CY21 with around 20% share in global shrimp exports. However, Ecuador benefitted from its proximity to the US markets and the resultant export competitiveness against India post COVID-19 and increased its supplies to the USA. This, with substantially increased demand from China, where it already held a major market share, resulted in Ecuador surpassing India as the largest shrimp exporter in CY22 by value, with a 26% market share as against 18% market share of India.
- Amidst challenges such as muted international prices, tariff and non-tariff protection measures undertaken by major export destinations like increasing anti-dumping duties and rejections, increasing competition and geographical concentration, the Government of India set an ambitious seafood export goal of ₹1.0 lakh crore (as against ₹61k crore in FY24) for revitalising agricultural vigour supported by different schemes of the Government.
Riding_the_Waves_-_Shrimp_Industry_Resilient_amidst_Global_headwinds
