A recent surge in US tariffs on Indian goods has sent shockwaves through Odisha’s seafood industry, directly impacting 62 seafood processing entrepreneurs and indirectly affecting around 25,000 prawn farmers across the state. The steep tariff increase, which includes a 50 per cent hike implemented last month, has disrupted the export of marine products, a critical revenue source for Odisha’s coastal economy.

Fisheries and Animal Resources Development Minister Gokulananda Mallik, responding to a query from BJD legislator Tusharkanti Behera in the state assembly, highlighted the severity of the situation. “The additional tariffs have significantly hampered the export of fish, prawns, and other marine products to the United States,” Mallik said. Currently, a 25 per cent additional duty is imposed on Indian goods entering the US, with another 25 per cent penalty slated for India’s purchase of Russian crude oil and military equipment.

Odisha’s marine product exports are a vital economic driver, with the US accounting for approximately 24.5 per cent of the state’s marine exports. In the 2024-25 financial year, Odisha produced 11.92 lakh metric tonnes of marine products, including 1.45 lakh metric tonnes of prawns. Of this, 22,559 tonnes, valued at Rs 1,420.41 crore, were exported to the US, making it a key market for Odisha’s seafood industry.

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The tariff hike threatens the livelihoods of thousands of prawn farmers and small-scale entrepreneurs who rely on exports to sustain their businesses. Coastal communities, particularly in districts like Balasore, Bhadrak, and Puri, are feeling the pinch as demand from the US market declines. “This is a major setback for our farmers and processors who have worked hard to meet international standards,” said a local seafood entrepreneur, who requested anonymity.

To mitigate the impact, the central government, in collaboration with state authorities, is exploring alternative markets such as Japan, South Africa, the UK, Russia, Australia, and Southeast Asia. However, establishing new trade routes and meeting the regulatory requirements of these markets will take time, leaving many in Odisha’s seafood sector in a precarious position.

The state government is also working on strategies to support affected farmers and entrepreneurs, including potential subsidies and training programs to enhance product competitiveness in global markets. “We are committed to supporting our marine industry and ensuring it remains a cornerstone of Odisha’s economy,” Mallik added.

As the US tariffs continue to bite, Odisha’s seafood industry faces an uncertain future, with stakeholders urging swift action to protect jobs and stabilize the market.

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