India cuts customs duty on shrimp feed
The reduction in customs duty on key inputs for the domestic manufacturing of shrimp feed is aimed to promote exports.
In the Union Budget 2023-2024, the Indian government announced a reduction in customs duty on key inputs for the domestic manufacture of shrimp feed. The measure is aimed to promote exports, boosting domestic manufacturing and enhancing domestic value addition.
“The reduction of customs duty on shrimp feed will boost the income of the seafood exporters of the state. In 2021-202222, seafood exporters of the state exported Rs 4,560 crore (USD 554 million) of seafood, mostly shrimps, to many countries. We used to earn $7 by exporting 1kg of shrimp. Thanks to the reduction of customs duty on shrimp feed, now we will earn more than 2-2.5%,” said Manoranjan Kumar Patra, managing director of Odisha Aqua Traders and Marine Exporters Pvt Ltd. “Seafood exporters and shrimp farmers import around 50% shrimp feed and fishmeal from many countries. Apart from aquaculture companies, shrimp farmers, coastal pockets, fishermen, trawler owners and other fish workers will earn more due to reduction in customs duty on key inputs for producing shrimp feed, which would gradually generate marine exports.”
Shares of Avanti Feeds, Coastal Corporation, and Waterbase soared up to 20% in trade after the announcement.