Indian seafood exporters eye UK, other markets amid US tariff blow

New Delhi, Aug 7 (PTI) Indian livestock and seafood exporters are exploring alternative markets, including the UK, after the US imposed a 50 per cent tariff on exports from these sectors, severely impacting price competitiveness, an industry body said on Thursday.

The Compound Livestock Feed Manufacturers Association (CLFMA) of India said the recent tariff imposition is a "significant blow" to the sector, threatening millions of livelihoods across coastal and rural areas.

"These duties severely impact price competitiveness and threaten millions of livelihoods, especially across coastal and rural areas where aquaculture and animal protein production are vital to local economies," CLFMA Chairman Divya Kumar Gulati said in a statement.

Gulati said Indian exporters are responding proactively to safeguard jobs and maintain global competitiveness by exploring alternative markets such as the UK, where the India-UK FTA now offers duty-free access for fisheries products.

"We expect seafood exports to the UK to rise three-fold, partially offsetting the contraction in US-bound shipments," Gulati said.

The industry body urged the government to promote broader market diversification by facilitating access to regions such as East Asia, the Middle East, and Africa, and intensify trade diplomacy through platforms like the WTO and G20 to address unfair trade barriers.

To cushion the impact on exporters, particularly MSMEs, Gulati called for reinstating and expanding the Interest Equalisation Scheme (IES) to ease credit costs.

"Export incentive schemes like RoDTEP should be recalibrated to provide higher WTO-compliant rebates to affected sectors. These interventions are essential to restore viability and maintain India's presence in global markets," he said.

At the production level, there is a shift towards species diversification -- for instance, from L. vannamei to Black Tiger shrimp -- enabling India to cater to niche, less competitive markets, Gulati said.

On the processing front, there is a strong push towards value-added products such as cooked and breaded shrimp, where India can better leverage its cost and capacity advantages, he added.

To build long-term resilience, the industry must strengthen domestic processing infrastructure and promote sustainable aquaculture practices through certification systems like ASC and BAP, along with measures like mangrove conservation and strict antibiotic controls, he said. PTI LUX MR MR