Andhra Pradesh’s shrimp industry has been dealt a severe blow following the US government's decision to hike import tariffs on Indian shrimp from 3% to a staggering 26%. The decision, taken under former US President Donald Trump’s trade policies, has led to a drastic fall in shrimp prices, leaving lakhs of aqua farmers in deep distress.
Shrimp farmers are now reeling under heavy losses. The export price has dipped by Rs. 30 to Rs. 50 per kg, pushing down rates sharply. For instance, the price of 100-count shrimp, which was Rs. 250 just two days ago, has now fallen to Rs. 210. Adding to the farmers’ woes, middlemen are allegedly taking advantage of the crisis by offering reduced rates for all shrimp varieties, even those not affected by the new US tariff.
Aqua farming is practiced in about 2.5 lakh acres across the combined West Godavari and Krishna districts, which serve as the backbone of India’s shrimp exports. Andhra Pradesh alone contributes 17.2 lakh tonnes of Vannamei prawns to the US market annually. Nearly 2,000 tonnes are exported daily from West Godavari district alone.
In light of the crisis and increasing calls for a crop holiday by affected farmers, Chief Minister N. Chandrababu Naidu has written a letter to Union Commerce Minister Piyush Goyal seeking urgent intervention. In his letter, Chandrababu urged the Centre to negotiate with the US government to exempt Indian aqua products from the steep tariffs. He emphasized that the fisheries sector accounts for 11% of Andhra Pradesh’s GSDP and must be protected during this crisis.
He also highlighted that cold storages across the state are overflowing and that international buyers are beginning to cancel orders due to price hikes.
Union Minister of State Bhupathiraju Srinivasa Varma responded, assuring that the Centre will take appropriate steps to safeguard the interests of aqua farmers.
Meanwhile, YSRCP leaders have accused the coalition government of failing to protect farmers and claimed that a trader syndicate is exploiting the crisis. They vowed to stand by the farmers and intensify protests if needed.
