NELLORE: The ongoing conflict in West Asia has begun to impact the aquaculture sector, particularly the Vannamei shrimp industry, causing concern among farmers and seafood exporters.
Due to disruptions in exports caused by the regional conflict, prices of Vannamei shrimp have been declining steadily. Farmers and aqua pond owners are expressing deep concern as the market continues to weaken.
Over the past two days alone, the price of Vannamei shrimp has reportedly dropped by Rs 20 to Rs 25 per count, leaving farmers distressed and worried about mounting losses.
With uncertainty prevailing over when the conflict in West Asia will end, shrimp farmers are facing a difficult situation. Seafood companies and buyers say exports of shrimp from Andhra Pradesh have slowed significantly due to the international situation.
As exports decline, seafood companies are sending shrimp to cold storage facilities in Chennai to preserve the stock. Shrimp are also being stored in the two available cold storage units in the Kota region as exporters wait for market conditions to improve.
“Exports have slowed drastically due to the war situation. If the conflict continues, the aqua sector will face serious losses,” said Karthik seafood buyer from the region.
Industry sources say that every year India exports nearly one million metric tonnes of shrimp to global markets. Of this, around 800,000 metric tonnes are produced in Andhra Pradesh alone.
Shrimp farmers are forced to sell their produce in local market due to war
However, current estimates suggest that exports have dropped sharply to about 500,000 metric tonnes.
Due to the slowdown in exports, seafood companies are transporting shrimp stocks to cold storage facilities in Chennai for preservation. Shrimp are also being stored in the two available cold storage units in the region.
In the undivided Nellore district, farmers in Kota, Vakadu, Chittamuru and Chillakuru mandals are largely cultivating Vannamei shrimp this season, while only a few farmers have opted for tiger shrimp farming.
In some mandals, farmers have recently released shrimp seed into their ponds, while in others harvesting has already begun.
However, buyers say exports to several countries, including the United States and some West Asian nations, have slowed significantly due to the ongoing conflict.
With prices falling sharply, some farmers have been forced to sell their produce at the rates offered by buyers.
Shrimp prices have witnessed a sharp decline across various counts. The price of 30-count shrimp, which was earlier Rs 510, has dropped to Rs 500, while 40-count shrimp has fallen from Rs 406 to Rs 360. Similarly, the price of 50-count shrimp declined from Rs 370 to Rs 330 and 60-count shrimp dropped from Rs 350 to Rs 310.
The downward trend continues with 70-count shrimp falling from Rs 335 to Rs 290 and 80-count shrimp decreasing from Rs 306 to Rs 280.
Likewise, 90-count shrimp prices have come down from Rs 280 to Rs 260, while 100-count shrimp, which earlier fetched Rs 275, is now selling at around Rs 250.
Farmers say they are anxiously waiting for the war to end. “We are hoping that once the war stops, export demand will return and prices will increase again,’’, said the farmers.