Shrimp Farming: US Shockwaves Rock AP Shores

Trump's tariffs, falling shrimp prices, and fears of additional US levies, spark a crisis in the state's politically vital aquaculture sector. SHINE JACOB elaborates

- Shine Jacob

Since US President Donald Trump's announcement of reciprocal tariffs on April 2, Duggineni Gopinath, a veteran shrimp farmer from Prakasam district in Andhra Pradesh, has been losing sleep. Shrimp prices across all categories have since dropped by 10-15 per cent, triggering widespread panic among farmers and exporters.

Industry experts peg the potential annual loss to the Indian shrimp sector at nearly $1 billion. Even more unsettling is the prospect of additional levies in the US—a countervailing duty (CVD) and anti-dumping duty that could raise the cost burden for Indian exporters by about 7 per cent, in addition to the new 26 per cent set by the US.

While only shrimp under the 50 count threshold are typically exported to the US, prices for other varieties—100, 90, 80, 70, and 60 count—primarily shipped to China, the European Union, Southeast Asia, Japan, and other Asian markets, have also seen a steep fall. Farmers and the state's Opposition parties are crying foul, alleging "cartelisation". All this comes at a time when the harvest season, which runs from April to July, is just beginning.