The press release by the Ministry of Fisheries, Animal Husbandry & Dairying, India said that in the Union Budget, for the year 2025-2026, tabled on 1 February 2025, the Union Finance Minister Smt. Nirmala Sitharaman, proposed the highest ever total annual budgetary support for the fisheries sector.
She highlighted India’s achievement as a leader in aquaculture and seafood exports. The budget announcement strategically focuses on reducing the financial burden of farmers by reducing custom duties and development of marine fisheries.
Aside from fisheries development in Andaman & Nicobar and Lakshadweep Islands to harness opportunities in sea cage culture, seaweed, ornamental and pearl cultivation, there was the announcement on reductions on Basic Customs Duty (BCD) on key inputs for shrimp and fish feed production.
The press release said that to strengthen the Indian shrimp farming industry globally, an import duty reduction from 15% to 5% on fish hydrolysate was announced. This is expected to lower production costs and increase revenue and profit margins for farmers, thereby improving and increasing exports.
The Union Budget 2025 also announced a reduction in BCD on key inputs for shrimp and fish feed production. The BCD will be lowered from 30% to 5% for shrimp broodstock and from 15% to 5% for fish feed. These tax cuts are expected to boost growth of aquaculture and enhance its competitiveness globally (Source: Trade Brains).
In seafood, the new budget reduced from 30% to 5%, the BCD on frozen fish paste (surimi) to manufacture and export of value-added seafood products (imitation crab meat sticks, surimi crab claw products, shrimp analogue, lobster analogue and other surimi analogues.
In the Union Budget 2025, the Government of India increased the Kisan Credit Card (KCC) lending limit to INR5 lakh (USD5,773) to enhance credit accessibility for fishers, farmers, processors and other fishery stakeholders. This will support the adoption of modern farming techniques and strengthen rural development and economic stability, reinforcing the government’s commitment to making institutional credit more inclusive and accessible.
Following the announcement, shares of aquaculture companies saw a strong rally. Mukka Proteins led the surge with a 12.5% gains, while Avanti Feeds and Apex Frozen Foods climbed nearly 8%. Kings Infra, Coastal Corporation, Sharat Industries, and Zeal Aqua also saw gains of up to 7%. The measures to increase pulses production in the country led to surges in agriculture stocks such as Kaveri Seed Company, Mangalam Seed, Godrej Agrovet, and Dhanuka Agritech. (Source: Economic Times).
