“This move puts India at a significant disadvantage compared to competitors like Ecuador, impacting exporters and potentially farmers. The industry, heavily reliant on the US market, is seeking government support and exploring alternative markets to mitigate the effects,” the note said.
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.
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 are down 9% in the last one month, while those of Apex Frozen Foods and Waterbase have declined 7% each during the same period.
