Frozen shrimp exports from India contracted over 7% on-year last fiscal as demand remained sluggish in the key markets such as the US and China on account of recessionary pressures and higher inflation. Added to that, higher supplies from Ecuador led to significant moderation of global shrimp prices.
Prices of shrimp, therefore, continued to decline till the first quarter of fiscal 2025 leaving the Indian processors and farmers under precarious situation. Also, the global supply chain disruptions have had an impact on the working capital cycle of the shrimp exporters. However, prices have slightly improved in Q2 of fiscal 2025 and sustenance of higher prices for a longer time will be critical for the industry.
The USDOC announced the initiation of anti-dumping investigations on shrimp exports from Ecuador and Indonesia and counter-vailing duty investigations on exports from India, Ecuador, Indonesia and Vietnam and had imposed preliminary duties on the exporters from these nations. The final determination of duty is yet to be made, and the impact of this on the competitiveness of the exporters need to be seen.
In this context, Crisil Ratings is organising a webinar where its experts will present their views on:
Outlook on demand from key geographies and supply dynamics
Trends in the prices of vannamei shrimp, and operating margins of exporters
Working capital cycle roadmap
Credit outlook
Expected impact of proposed duties in USA on shrimp exporters
This will be followed by a panel discussion with industry experts and a Q&A session.
Disclaimer: This event and its content are intellectual property and confidential information of Crisil. Any use of the same without written permission of Crisil is illegal and hence punishable. Recording the webinar in any form in full or part or copying, altering, distributing or streaming the webinar is strictly prohibited and violation will attract legal action.
