Trump 25% Tariff: Avanti Feeds, Waterbase, Apex Frozen Foods shares fall up to 6%

Shares of India’s shrimp feed exporters, Avanti Feeds Ltd. Waterbase Ltd. and Apex Frozen Foods Ltd. fell as much as 6% on Thursday, July 31, as these stocks may react to US President Donald Trump’s tariff announcement on India.Donald Trump announced on Wednesday evening that India will have to pay a tariff of 25%, along with an unspecified penalty that India will have to pay for doing business with Russia, including buying defence equipment and oil.

The US is a major market for Shrimp exports for these companies.

As of the March quarter last year, Avanti Feeds derived 77% of their overall revenue from the North American Market, down from 80% during the same quarter last year.Apex Frozen Foods, in its March quarter investor presentation, disclosed that 53% of its overall revenue came from the United States.

India currently holds about 20% of the global shrimp market share, with production expected to remain flat at 1.2 million metric tonnes this fiscal. Nearly 48% of Indian shrimp exports are destined for the US market, making the country highly exposed to policy shifts in that geography, according to Avanti Feeds’ annual report for the current financial year.

Currently, Indian shrimp exports to the US face an effective customs duty of 17.7%, including 5.7% in countervailing duties and 1.8% in anti-dumping duty. That would now rise to 25%.

Shares of Avanti Feeds, Apex Frozen Foods and Waterbase are recovering from the opening lows, currently trading with losses between 2% to 4%.