The Indian government's target of one lakh crore rupees for marine exports for the fiscal year 2025 was not achieved. The primary reasons for missing this target were the global economic recession and the stringent challenges of international quality standards, which Indian exporters had to contend with.
Under the Pradhan Mantri Matsya Sampada Yojana (PMMSY), the central government aimed to increase the export of marine products to one lakh crore rupees by 2024-25, but this objective could not be achieved. According to recent data, marine product exports in fiscal year 2025 amounted to only 62,625.09 crore rupees, which is approximately 37,374 crore rupees less than the set target.
Plan to Double from 2018-19
When India's marine exports were around 46,613 crore rupees in 2018-19, the government set a target to double it. PMMSY was launched for this purpose, and several schemes were devised. However, obstacles in the implementation of these schemes on the ground slowed down the pace of exports.
Decline in Global Demand
According to experts, a decline in demand for marine products was observed due to the global economic slowdown and inflation in major importing countries. The purchasing power of consumers in major customer countries like the United States, the European Union, and Japan decreased, which affected exports from India.
Infrastructure Deficiencies a Major Challenge
The lack of infrastructural facilities was also significant among the factors affecting exports. Processing units, port facilities, and essential infrastructure like cold storage in coastal states are not operating at full capacity. Additionally, the shortage of containers and increased freight costs also hurt competitiveness.
Policy Issues Also Hindered Progress
Challenges also remained regarding financial assistance in the aquaculture sector. Rajamanohar Somasundaram, the founder of Aquaconnect, pointed out that schemes like the Kisan Credit Card (KCC) are suitable for traditional farming, but their limits are insufficient for investment in aquaculture. This has prevented the acceleration of new projects in this sector.
Emphasis on Market Expansion
Somasundaram suggested that India should focus on new export markets, such as the Middle East and countries like South Korea, where opportunities are yet to be fully tapped. In addition, it is essential to focus on high-value fish species so that both the quality and price of exports can improve.
New US Policy Raises Concerns
News of a possible tariff increase by the United States has emerged as a new challenge. If the US imposes retaliatory tariffs after July 9, this will increase the prices of Indian marine products and could reduce the inclination of American consumers. This could deliver a deep blow to this sector in India.
PMMSY Received Heavy Budget Support
The government allocated 2,352 crore rupees for the PMMSY scheme in the fiscal year 2025 budget. This is 89.8 percent of the total budget of the Ministry of Fisheries. In other words, the center has given this scheme a major priority, but the expected results have not been achieved.
Silence from MPEDA and the Ministry
When the media contacted the Marine Products Export Development Authority (MPEDA) and the Ministry of Fisheries regarding the decline in exports and the partial implementation of the schemes, no official statement was provided. It also remains a matter of concern as to how the government is reviewing this failure.
Exporters Struggling with Market Instability
Traders and companies involved in exports are constantly struggling with market instability and policy ambiguity. Both the global economic conditions and the infrastructural limitations at the domestic level have collectively set back marine exports.
