NELLORE: Aqua farmers in the State are reeling under heavy losses following a sharp fall in shrimp prices over the past one month. Farmers say the sudden decline in Vannamei shrimp prices, coupled with rising input costs and disease outbreaks, has pushed cultivation into an unviable zone.
According to farmers, the price of 100-count Vannamei shrimp, which fetched around Rs 270 per kg a month ago, has now dropped to nearly Rs 225 per kg. The decline of nearly Rs 40,000 per tonne has left cultivators worried about sustaining operations during the current crop season. Farmers who harvested their crop earlier managed to secure modest profits, while others with lower yields barely recovered their investments. However, those harvesting now say the current market rates are insufficient even to cover cultivation expenses.
“I had spent nearly Rs 2.5 lakh per tonne for cultivation, but at the present market price, returns are limited to around Rs 2.25 lakh. If this trend continues, it will become impossible to continue shrimp farming,” K Ramanaiah, a farmer lamented.
Aquaculture experts point out that Andhra Pradesh remains the country’s largest shrimp-producing state, contributing a major share to India’s seafood exports. Industry estimates suggest that nearly eight lakh people in the State depend directly or indirectly on aquaculture for their livelihood. Frozen shrimp alone contributes more than two-thirds of India’s marine export earnings.
In the district, shrimp cultivation is spread across nearly 20,000 acres, with Vannamei shrimp dominating the sector. Farmers allege that exporters and processing companies have formed syndicates and are collectively reducing procurement prices from Rs 270 to Rs 225 per kg despite stable international demand.
Meanwhile, Tiger shrimp prices remain comparatively strong due to limited cultivation. Traders are reportedly offering up to Rs 720 per kg for Tiger varieties, encouraging some farmers to consider shifting cultivation patterns.
The current crop season began during the last week of February, but farmers say they faced severe challenges from the outset. Quality shrimp seed was reportedly unavailable in sufficient quantities, forcing many to procure seed from hatcheries under difficult conditions. Subsequently, viral infections, erratic weather conditions and rising summer temperatures affected shrimp growth in several ponds, leading to crop losses.
To save their ponds, some farmers said they were forced to spend an additional Rs 30,000 to Rs 40,000 on medicines, aerators and pond management. Rising feed prices further added to their burden. Recently, the Andhra Pradesh government intervened to halt a proposed increase in shrimp feed prices after farmer groups warned that higher feed costs would severely impact the sector.
The crisis is also affecting larger-size Vannamei shrimp. Farmers cultivating 60-count shrimp say their production cost has touched nearly Rs 3.30 lakh per tonne, while current market rates are yielding only around Rs 2.75 lakh, resulting in substantial losses.
Export-related uncertainties are also contributing to the price slump. Industry observers say fluctuations in global demand, tariff pressures in the United States, geopolitical tensions in West Asia and disruptions in shipping routes have affected seafood exports from Andhra Pradesh in recent months.
Farmers have urged both State and Central governments to intervene immediately by fixing minimum procurement prices for shrimp. They demanded that the price of 100-count Vannamei shrimp should not fall below Rs 250 per kg, while 30-count shrimp should fetch at least Rs 350 per kg.They also sought stricter regulation of exporters and processors, subsidy support for electricity and feed, and measures to ensure quality shrimp seed supply.
