Shrimp, seafood, agri exports set to lose price advantage

India's shrimp, basmati rice, and buffalo meat exports to the US—a trade worth billions—are in jeopardy as President Donald Trump slapped a 27% 'reciprocal' tariff on Indian imports.

- Vijay C. Roy

The move could erode India's price advantage, disrupt supply chains, and open the door for rival exporters from Vietnam, Thailand, and South America.

The US is India's top market for agricultural goods, with bilateral farm trade totaling $6.6 billion in 2024. India exported $5 billion worth of agricultural products, while imports stood at $1.5 billion.

With tariffs coming into force, exporters warn that they could hit key agricultural exports, particularly basmati and non-basmati rice, shrimp, wheat, and buffalo meat, which together account for 46% of India's farm trade with the US.

The White House fact sheet outlines that in addition to the 27% tariff on Indian imports, a 10% tariff on all imports will take effect on April 5. By April 9, countries with the largest trade deficits with the US will face even steeper "reciprocal tariffs."