Aquaculture – Naidu Seeks Centre’s Support to Protect Aqua Farmers and Seafood Exports
Aquaculture –Andhra Pradesh Chief Minister N. Chandrababu Naidu has called for policy support from the Union government to ease rising production costs, strengthen export prospects, and safeguard the livelihoods of millions associated with the state’s aquaculture industry.
The Andhra Pradesh government has appealed to the Centre to introduce measures that can reduce the financial burden on aqua farmers, who are facing mounting production expenses due to a steep rise in the cost of key ingredients used in shrimp feed. During a meeting with Union Finance Minister Nirmala Sitharaman at the Chief Minister’s Camp Office in Undavalli on Friday, N. Chandrababu Naidu stressed that the sector remains one of the state’s most important economic pillars, supporting farmers, processing units, exporters, hatcheries, feed manufacturers and a wide range of related businesses.
Rising Feed Costs Add Pressure on Farmers
Highlighting concerns raised by the Shrimp Feed Manufacturers Association, the Chief Minister said the prices of essential raw materials used in shrimp feed production have increased sharply in recent months, resulting in a substantial jump in manufacturing expenses. According to the figures shared during the meeting, fish meal prices climbed from Rs 1.55 lakh to Rs 2.40 lakh per tonne between January and April this year, while fish oil rose from Rs 2.80 lakh to Rs 4.40 lakh per tonne. Soy lecithin also witnessed a significant increase, moving from Rs 68,000 to Rs 1.10 lakh per tonne.
These price hikes have collectively pushed up the production cost of one tonne of shrimp feed by nearly Rs 25,000, increasing overall farming expenses by more than 20 percent. Naidu said that disruptions in feed availability or affordability directly affect farmers’ incomes and India’s seafood export performance.
Call for Stronger Domestic Market and Institutional Support
The Chief Minister urged the Union government to strengthen the domestic market for shrimp and aquaculture products through a combination of policy initiatives. He proposed greater support for Farmer Producer Organisations (FPOs), improved market connectivity, better branding and processing infrastructure, and stronger retail integration to help producers secure better returns.
He also suggested establishing a dedicated institutional mechanism to reduce the impact of fluctuations in international demand on the aquaculture sector. In addition, Naidu requested financial assistance from the National Fisheries Development Board to establish the Andhra Pradesh Prawn Producers Coordination Committee with a proposed corpus fund of Rs 100 crore.
Concerns Over US Tariffs on Seafood Exports
Raising issues related to international trade, Naidu appealed to the Centre to engage with the United States to secure relief from trade barriers affecting Indian seafood exports. He noted that Indian shrimp exports are already subject to a 5.77 percent countervailing duty, while the possibility of an anti-dumping duty remains under consideration.
The Chief Minister said any further tariff measures could significantly affect Andhra Pradesh, which contributes nearly 80 percent of India’s shrimp exports. He requested the Union government to seek either the removal of the existing customs duty burden on seafood exports or appropriate exemptions to protect farmers’ interests. He also encouraged the Centre to identify new overseas markets to diversify export opportunities for Indian aqua products.
Tobacco Farmers Also Face Market Challenges
Apart from aquaculture, Naidu drew attention to the difficulties being faced by tobacco growers. He said that placing tobacco products in the highest Goods and Services Tax slab, combined with high excise duties on cigarettes, has reduced procurement by manufacturers in Andhra Pradesh and Karnataka.
He informed the Finance Minister that the ongoing tobacco auction season has progressed much slower than last year. Against an estimated production of 230 million kilograms, procurement has reached only around 34 million kilograms so far. According to the Chief Minister, the widening price difference between legal cigarettes and illicit tobacco products may also encourage smuggling and tax evasion, creating additional pressure on the regulated industry. He urged the Centre to take timely steps to protect the interests of tobacco farmers.
Support Requested for Horticulture Development
Naidu also sought full financial and policy backing from the Union government for the Rayalaseema Integrated Horticulture Development Plan. He said the initiative would strengthen agricultural diversification in the region while creating new opportunities for farmers and improving long-term rural economic growth.