Odisha’s Marine Exports Face Storm After US Tariff Surge
Steep import duties may cripple foreign exchange earnings and hit farmers, processors alike.
Bhubaneswar : Odisha, one of India’s leading seafood-exporting states, sends nearly 70% of its shrimp and other marine products to the United States, earning around ₹2,000 crore annually. This export sector plays a crucial role in generating foreign exchange for the state. However, a recent announcement by US President Donald Trump to impose a 50% tariff on Indian seafood has triggered deep concerns among exporters and farmers.
With such steep duties, exporters fear that selling in the US market will no longer be viable. Given that shrimp constitutes the majority of Odisha’s seafood exports, the state could suffer significant losses. Until a trade agreement between India and the US is reached, the industry remains in uncertainty. Although five rounds of trade talks have been held without a breakthrough, the sixth round is scheduled in New Delhi later this month.
The US has already imposed tariffs of 15% on Ecuador and 19% on Indonesia—two of India’s major competitors in the American seafood market. Experts warn that a 50% duty on Indian products would make it impossible for Odisha’s exporters to compete, as US buyers would turn to cheaper alternatives.
The impact would not only hit exporters but also more than 10,000 shrimp farmers in Odisha, whose produce is primarily meant for export. The livelihoods of workers in shrimp processing units would also be at risk. Industry analysts reveal that many exporters have already stopped accepting US orders due to uncompetitive pricing under the new tariff regime.
If the issue is not resolved through trade negotiations, Odisha faces a potential decline in foreign exchange earnings, a slowdown in seafood-related industries, and widespread livelihood disruptions.
