Aquaculture for all

Shrimp Export Now Better Placed for Returns

INDIA - India's shrimp producers are buoyant. Their produce has been recognized by international markets and the seafood sector stands to reap significant benefits.

According to a report on Wall Street Journal's Livemint, a directive from the director general of foreign trade, means that shrimp export has been included under the Vishesh Krishi Gram Udyog Yojana.

Exporters will be eligible to a duty repayment of 3.5 per cent of the on-board freight of the commodity exported. The move will lower freight rates and increase export values and will hopefully help to lift sagging exports of Indian black tiger shrimp. Revenues have fallen for this product by Rs560 crore to about Rs3,800 crore in fiscal 2008 primarily due to an anti-dumping duty in the US and a market dominated by the cheaper vanammei variety.

Anwar Hashim, national president of the Seafood Exporters Association of India, said that though the government has agreed to consider only shrimp under the scheme, this is still a welcome move as shrimp exports make up more than 50 per cent of India’s total marine exports worth about Rs8,000 crore.

The scheme, evolved by the commerce ministry to promote the export of agricultural products including fruits, vegetables and dairy products, is in effect from 1 September 2004 to 31 March 2009.

View the Wall Street Journal story by clicking here.
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