Andhra Pradesh Chief Minister N Chandrababu Naidu on Sunday pressed the Centre to secure a US tariff exemption for shrimp exports, cautioning that the state’s vital aqua sector teeters on the brink of collapse.
In a letter to Union Commerce Minister Piyush Goyal, Naidu sought urgent intervention as the US imposed a 27% import duty on Indian marine exports, effective April 5, 2025, crippling the shrimp trade, which forms 92% of this market.
“The aqua sector is the backbone of our economy, and these tariffs are a blow we cannot endure,” Naidu stated in a press release. With cold storages overflowing and exporters pausing procurement, the livelihoods of lakhs dependent on Andhra’s fisheries hang in the balance. In 2023-24, India shipped USD 2.55 billion worth of marine products to the US, but the new duty disadvantages India against Ecuador, which faces just a 10% tariff—a 17% edge.
Naidu highlighted the immediate fallout: shrimp harvested for prior orders now sits stranded at ports and in storage, racking up unforeseen costs.
Globally, the ripple effect worsens as Vietnam and Thailand cancel Indian orders, while the EU adds duties of 4-7%. Andhra, a shrimp powerhouse with over 5.7 lakh acres under aquaculture, fears losing its edge. Naidu’s plea underscores the urgency to shield this economic lifeline, urging diplomatic efforts to restore competitiveness before the sector buckles under the tariff strain.