Indian Shrimp Exporters Gear Up for Massive US Shipments

Following the announcement of a pause in steep new tariffs by US President Donald Trump, India’s seafood exporters are preparing to dispatch between 35,000 and 40,000 tonnes of shrimp to the United States. This move has brought significant relief to the sector, allowing for the processing of thousands of previously delayed shipments.

Stable Orders and Tariff Pause Boost Exporter Confidence

Industry officials confirmed that orders from American buyers remain stable after the delay in the 26% reciprocal tariff, maintaining the current duty at 10%. "There is a lot of relief now as we are at par with other exporters to the US. Now the shipments that were held back will be processed," said K N Raghavan, secretary general of the Seafood Exporters Association of India.

Preparing for Export: A Critical Window of Opportunity

Approximately 2,000 containers of shrimp, previously held up due to tariff uncertainties, are now being prepared for export. The temporary suspension of higher levies provides exporters with a crucial opportunity to fulfill existing contracts without facing additional costs.

Challenges Remain Despite Tariff Relief

Despite the pause, Indian shrimp currently faces an effective duty of 17.7% in the US market, including countervailing and anti-dumping duties. Exporters, who usually bear these costs, would have faced significant expenses under the proposed higher tariffs.

The US: India’s Largest Shrimp Market

The United States remains India’s largest shrimp market by both volume and value, with exports valued at $2.7 billion in the 2023-24 financial year. As the tariff pause expires, industry leaders stress the need for a "level playing field" in upcoming trade talks.