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Avanti Feeds, Apex Frozen Foods Crash Up to 17% After Trump's 27% Tariff
Sandip Raj Gupta
03/Apr/2025
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Avanti Feeds drops 17%, Apex Frozen Foods falls 3% after Trump’s 27% reciprocal tariff on India.
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Indian shrimp exports to the US total $2.4 billion, making up 40% of the American market.
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The seafood industry fears a major hit as the US remains India’s biggest frozen shrimp buyer.
Shares of leading Indian shrimp exporters Avanti Feeds, Apex Frozen Foods, and Coastal Corp tumbled on April 3 after US President Donald Trump announced a 27% tariff on Indian seafood exports.
Stock Market Impact
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Avanti Feeds crashed 17% to ₹733, marking its biggest intraday loss in months.
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Apex Frozen Foods declined over 3% to ₹209, hitting a one-month low.
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Coastal Corp dropped 3% to ₹38.16, ending its three-day rally.
Why Are Shrimp Export Stocks Falling?
High Dependence on the US Market
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Avanti Feeds derives 69% of its revenue from North America.
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Apex Frozen Foods exports 64% of its products to the US.
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The US accounts for $2.4 billion of India’s $5.6 billion shrimp exports.
Trump’s New Tariff Policy
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Trump’s tariff chart claims India imposes 52% tariffs on US goods, justifying a 27% reciprocal duty on Indian seafood exports.
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The move threatens India’s dominance in the US shrimp market, where it holds a 40% share.
Potential Shrimp Export Decline
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India’s shrimp industry relies heavily on exports, especially to the US and China.
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Any slowdown in US demand could severely impact Andhra Pradesh’s 1 lakh+ shrimp farms.
Industry Experts React
Industry officials warn that higher tariffs could make Indian shrimp exports uncompetitive.
"If US buyers shift to Latin America or Southeast Asia, it could disrupt India’s seafood sector," an expert from the Marine Products Export Development Authority (MPEDA) stated.
What’s Next?
Indian exporters may lobby for tariff relief while exploring alternative markets in China, Japan, and the EU. However, in the short term, shrimp stocks may remain under pressure.