Amid rising concerns over US tariffs, India’s seafood exports are likely to face further headwinds following the introduction of a Bill by two Senators against the dumping of cheap shrimp and produce by India.
Under the guise of protecting Louisiana’s shrimp and catfish industries, these Senators introduced the India Shrimp Tariff Act. They sought a level playing field to protect Louisiana seafood and the jobs that depend on it. The Bill stated that Indian shrimps have been dumped in the US market for too long, with minimal penalty or regulation, at the expense of domestic shrimpers, processors, restaurants, and consumers.
Exporters dismiss dumping charge as unfounded
K.N.Raghavan, Secretary-General of the Seafood Exporters Association of India, stated that the Southern Shrimp Alliance in the USA has been making a persistent effort to restrict the entry of Indian shrimp. The present move seeking to increase the tariff even further is a continuation of their efforts in this regard. The allegation that India is dumping substandard shrimp into the US is untrue, unfounded, and uncalled for. Indian shrimp has reached the prime position in the US market only because of its superior quality at an affordable price.
‘Unable to compete on merit’: India calls move protectionist
There is nothing that bars domestically produced shrimp from competing with Indian produce in the US market. The fact that they are seeking protection through high tariffs shows that they would not be able to compete on level playing terms. The quantity of shrimp produced in the USA is not sufficient to meet the demands of its domestic market. Attempts to restrict Indian shrimp from the US market will only result in the US consumers being denied the choice to buy or consume the best quality shrimp available at affordable rates, he added.
Shaji Baby John, Managing Director of Kings Infra, alleged that there is a lobby working against India in the US, and the government should stand firm in facing such threats. There is no need for panic over the new Bill, especially considering the current 55 per cent tariffs, as India’s seafood exports are expanding to more than 120 countries.
“It is that the South American countries are dumping cheaper products in the US markets whereas Indian products are better quality and costlier than Ecuador by 20-30 per cent”, he said.
