Indian seafood exports are poised to cross the $5-billion-mark achieved last year with figures for 10 months to January 2015 showing a 12% rise, helped by a rise in demand in the US and Southeast Asia.

However, a slowdown in the global market may cause it to fall short of $6 billion at the end of 2015-16.Exporters say prices have slackened in recent months which could put the brakes on revenue in the next two months.

According to figures provided by the Marine Products Export Development Authority, marine product exports stood at 8,75,791 tonne valued at `28,084 crore ($4.7 billion) till the end of January this year.While the quantity increased around 5%, the value in rupee terms went up by 11% compared with the same period of the previous year. The jump is attributed to increased production and export of vannamei shrimps, frozen cuttle fish, both live and chilled.

About 85% of vannamei shrimps production is from Andhra Pradesh, where most of the farms are located.In value terms, the frozen shrimp accounts for over 68% of the total marine product exports from the country .

"Exports will definitely cross $5 billion, but it will be difficult to reach $6 billion as prices have fallen in Europe and the US markets. Movement is slow and buyers are adopting a waitand-watch policy ," said AJ Tharakan, president of the Seafood Exporters Association of India.

In 2013-14, seafood exports from the country reached a record high of `30,213 crore.Southeast Asia, which bought large amounts of shrimps from India because of a shortage following a disease affecting the farms, has recovered a bit, he added. This has led to the region to go slow on purchases.But it is still the second largest buyer of Indian seafood with a share of 26.22%, marginally below the US which accounts for 26.81%.

With vannamei shrimps becoming a money spinner in the Indian seafood exports, the focus has shifted to far med seafood products. The share of sea catch has come down in the total seafood export basket.

"The catch from the sea has also gone down due to a delayed monsoon last year. The price of fishes like tuna has slumped. On top of it, increase in diesel prices has raised the cost of running the boats," said George Joseph, CEO of Starfish Exports.A rise in export of farmed shrimp has made Visakhapatnam the top seafood exporting port of the country.

Source:- economictimes.indiatimes.com