Indian shrimp exports is likely to have mixed results this year as demand declines in the European Union and exports to the US continue to grow, according to a report.
“Looking at the future, the story of Indian shrimp exports show mixed signs. On one hand, increased competition and decreased EU demand seem to be depressing sales. On the other, analysts expect Indian shrimp exports to the US to grow by 15-20 per cent this year,” according to a report by US-based fintech company Drip Capital.
Since many exporters are not currently hedged against currency fluctuation, rupee depreciation has allowed exporters to keep losses to a minimum, it added.
“Depreciation of the Indian rupee against the dollar will likely support Indian exporters against those from other markets. As per industry analysts and trade sources, this could boost shrimp exports to the US this year. However, the entry of competing export countries in the global shrimp trade is also a factor to take into account.