India’s shrimp export industry has shown resilience in the face of higher US tariffs, cushioning the impact through market diversification, productivity gains and a shift towards value-added products.
The United States, India’s largest shrimp market, imposed higher duties that raised costs for exporters and squeezed margins. However, industry data indicate that overall shrimp exports remained steady in FY26, supported by stronger shipments to Europe, East Asia and emerging markets such as West Asia and Russia.
Exporters responded swiftly by reducing dependence on the US market, increasing supplies to countries including Belgium, Spain, China and Canada. As a result, the share of non-US destinations in India’s shrimp exports rose during the year, helping offset slower growth in American demand.
At the same time, improvements in aquaculture practices played a key role. Higher farm productivity, better disease management and increased use of technology-enabled feeding and monitoring systems helped lower production costs. This allowed Indian exporters to stay competitive despite tariff-related price pressures.
Industry executives also pointed to a greater focus on processed and value-added shrimp, which fetch higher realisations and are less sensitive to price fluctuations. Investments in processing capacity and cold-chain infrastructure supported this transition.
Government support under schemes such as the Pradhan Mantri Matsya Sampada Yojana, along with efforts to expand market access, further strengthened the sector’s ability to absorb external shocks.
Analysts say that while US tariffs remain a structural challenge, India’s diversified export base and productivity-led growth model have helped the shrimp industry maintain its global standing. With demand stabilising in key overseas markets, exporters remain cautiously optimistic about sustaining momentum in the coming months.