Indian Shrimp Exporters Surge on Potential US Trade Deal
Shares of Indian shrimp feed exporters surged following reports of a potential trade agreement between India and the US. The deal could reduce US tariffs on Indian imports from 50% to 15-16%, significantly boosting the seafood export sector. Avanti Feeds rose 6%, Apex Frozen Foods 9%, and Coastal Corporation hit the 20% circuit limit. The US is a crucial market for Indian shrimp exporters, with Avanti Feeds deriving 77% of revenue from North America and Apex Frozen Foods 53% from the US specifically. In 2024-25, India's seafood exports to the US reached $2.71 billion, up 6.27% from the previous year. The potential tariff reduction could revitalize the industry, increasing export volumes and profitability for Indian shrimp exporters.

*this image is generated using AI for illustrative purposes only.
Shares of Indian shrimp feed exporters experienced a significant rally following reports of a potential trade agreement between India and the United States. The deal, if finalized, could substantially reduce US tariffs on Indian imports, potentially boosting the prospects for companies in the seafood export sector.
Market Reaction
The news triggered a strong positive response in the stock market:
Company | Stock Movement |
---|---|
Avanti Feeds | +6.00% |
Apex Frozen Foods | +9.00% |
Coastal Corporation | +20.00% (hit circuit limit) |
Potential Trade Agreement Details
- Current US tariffs on Indian imports: 50.00%
- Proposed reduced tariffs: 15.00-16.00%
This reduction could have a significant impact on Indian seafood exporters, as current high tariffs have made exports largely unviable.
Key Points of Discussion
- US President Donald Trump confirmed discussions with Indian Prime Minister Narendra Modi
- Focus areas: Trade and energy
- Additional reported agreement: India to limit oil purchases from Russia
Market Significance
The United States represents a crucial market for Indian shrimp exporters:
Company | Revenue from North America |
---|---|
Avanti Feeds | 77.00% |
Apex Frozen Foods | 53.00% (US specific) |
Seafood Export Data
Year | Total Seafood Exports | Exports to US | Change |
---|---|---|---|
2023-24 | Not Available | $2.55 billion | - |
2024-25 | $7.45 billion | $2.71 billion | +6.27% |
The potential trade agreement could significantly boost these figures by making Indian seafood exports more competitive in the US market.
Impact on Industry
The current total duties on Indian seafood exports to the US, reaching nearly 60.00%, have made exports challenging. A reduction in tariffs could revitalize the industry, potentially leading to increased export volumes and improved profitability for Indian shrimp exporters.
This development is particularly significant for companies like Avanti Feeds, which derives a substantial portion of its revenue from the North American market. The stock market's positive reaction reflects investor optimism about the potential benefits of this trade agreement for the Indian seafood export sector.
As negotiations continue, stakeholders will be closely monitoring further developments that could impact the industry's growth prospects and market dynamics.
Historical Stock Returns for Avanti Feeds
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
---|---|---|---|---|---|
+5.19% | +5.89% | +5.61% | -16.90% | +25.30% | +45.81% |