As the US economy continues to reel under the impact of the global economic slowdown and recession persists in the Japanese economy, Indian seafood exporters are focusing on the EU.
While the European Union accounted for over 32 per cent of the foreign exchange earnings during the first half of the current year, together Japan and the US accounted for less, at 15 and 13 per cent respectively.
The anti-dumping duty imposed on Indian shrimp exports to the US has motivated the industry to diversify its field of operations, sources in the Seafood Exporters Association of India said.
And this has begun to pay rich dividends. Exports to competing destinations, such as China and South-East Asia, have accelerated to almost 13 and 10 per cent. This has pared the gap with traditional market leaders such as Japan and the US.
A more diversified market with wholesome export basket and a wide spectrum of products – shrimp, cuttlefish, squids, frozen fish and value-added ready-to-cook products – would be the best export profile for Indian exporters. Frozen fish has risen to 30 per cent in the export basket and 15 per cent of the value during the first six months and is now next only to shrimp, Mr Anwar Hashim, President of SEAI said. Frozen fish has overtaken both cuttlefish and squid in volumes and value.
Ribbon fish, Mackerel
Though low in value, frozen fish like ribbon fish and mackerel have started to make a significant contribution to the total value realisations. Ribbon fish exports to China have shown a substantial increase of 50-60 per cent in unit value and is getting reflected in the export proceeds. Mackerel exports to Thailand and Malaysia has picked up in the recent past and together they are contributing significantly to the total volume of frozen fish exports from India, Mr Hashim said.
The biggest export destination in South-East Asia is Thailand, in both volume and value. Thailand today is virtually on par with Spain, the biggest export destination for Indian seafood exports in the EU region. Mackerel catches from the coast of Thailand and few other South East Asian countries have been coming down in the recent past, which has been contributing to the demand. After Goa, exports of mackerel have commenced from Kochi Port also this year.
This diversification of the export market and product basket is expected to stand the industry in good stead in the coming years. When the US and Japanese markets revive, Indian seafood exports are expected to grow. Even otherwise, the diversification is expected to make the Indian marine exports more resilient and flexible to the global demand.
Source : Business Line