Seafood exports from the nation for the current fiscal are likely to end significantly lower than last year’s performance, as exports for the first eleven months fall short by 16%.
According to figures of the state-run marine products export development authority (MPEDA), India exported 475,200 tonne of seafood valued at Rs 6770.52 crore during April-February 2007-08, as against 566,035 tonne valued at Rs 7718.51 crore for the previous comparable period.
The drop in value (rupee terms) is 12.28% and volume 16.05%. The dollar value fell nominally by 1.12 % from $1.70 billion to $1.68 billion.
India had exported a record 612,641 tonne of seafood valued at Rs 8,363.53 crore during 2006-07, up 19.62% in quantity and 15.43% in rupee value when compared to 2005-06.
Lesser availability of fish, appreciation of the rupee and competition from cheaper sources are the threats faced by Indian exporters. Drop in unit realisation coupled with increasing production cost put exporters at a disadvantage when compared to other sources.
The major loses have come in the US and Japanese market while exports to Europe are encouraging, sources said. Moreover, Indian exports are unlikely to recoup the losses in the remaining part of the financial year given the disadvantages, sources said.
Seafood Exporters Association of India (SEAI) states that increasing fuel cost has added to the already high production cost, while competition from cheaper species like vannamei shrimps are bringing down the export revenue. SEAI claims that the industry is facing the biggest crisis of its history and fighting for survival. It argues that the export revenue could drop to $1 billion from the present $2 billion (Rs 8,000 crore).