K.S. SRINIVAS IAS

C H A I R M A N

T H E M A R I N E P R O D U C T S E X P O R T D E V E L O P M E N T A U T H O R I T Y

( M I N . O F C O M M E R C E & I N D U S T R Y , G O V T . O F I N D I A )

K O C H I

OPPORTUNITIES IN MARINE PRODUCTS EXPORT SECTOR

3rd largest producer of fish in the world.

6th largest producer of capture fisheries.

2nd largest aquaculture producer after China.

(C) MPEDA, 2019

Indian Fisheries Scenario

Fourth largest exporter of seafood in 2017

(GLOBEFISH)

Largest supplier of frozen shrimp to USA

Largest supplier of frozen shrimp to Japan in

2018

Largest supplier of cephalopods to EU

Topmost seafood supplier to UAE

(C) MPEDA, 2019

Indian Seafood Export Scenario

Marine Products Export from India2017-18

1899.09

1908.632132.84

2856.92

3508.45

3511.67

5007.70

5511.12

4687.94

5777.61

7081.55

0

1000

2000

3000

4000

5000

6000

7000

8000

2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18

US

$ M

illi

on

All Time High

(C) MPEDA, 2019

(C) MPEDA, 2019

FROZEN SHRIMP

41%

FROZEN FISH26%

FR CUTTLE FISH5%

FR SQUID7%

DRIED ITEM6%

LIVE ITEMS1%

CHILLED ITEMS1%

OTHERS13%

Item-wise share in export value: 2017-18 (Quantity)

FROZEN SHRIMP69%

FROZEN FISH10%

FR CUTTLE FISH5%

FR SQUID5%

DRIED ITEM2%

LIVE ITEMS1%

CHILLED ITEMS2%

OTHERS6%

Item-wise share in export value: 2017-18 (US$)

(C) MPEDA, 2019

Japan6%

USA18%

EUROPEAN UNION

14%

CHINA4%

SOUTH EAST ASIA45%

MIDDLE EAST4%

OTHERS9%

Market-wise share in export value: 2017-18 (Quantity)

(C) MPEDA, 2019

Japan6%

USA33%

EUROPEAN UNION

16%

CHINA3%

SOUTH EAST ASIA32%

MIDDLE EAST4%

OTHERS6%

Market-wise share in export value: 2017-18 (USD)

(C) MPEDA, 2019

Aquaculture

(C) MPEDA, 2019

Aquaculture

Aquaculture production has been increasing at anannually compounded rate of 20%.

The increase has happened both on account ofincrease in area under culture as well as increase inproductivity.

India’s share in global shrimp exports increased toabout 15 % in terms of quantity and about 16% interms of value in 2017 from about 6% in 2009.

(C) MPEDA, 2019

Aquaculture

Farmed shrimp production - increased to6,90,000 MT in 2017-18; with over 800% increasein a decade.

The area under shrimp culture increased by 40%during the same period to 1,52,600 ha in 2017-18.

The average productivity rose over 450% to 4.46tons/Ha/Year during the same period.

(C) MPEDA, 2019

Seafood exports – Kerala

✓ 3rd largest seafood exporting state in terms ofquantity with an annual export of 1,78,646 MT.

✓ 2nd position in terms of export value of its export isworth Rs. 5,919 Crore (US $ 930million).

✓The seafood export from Kerala is mainlydependent on capture fishery and cultured shrimpbrought from Andhra Pradesh.

✓Total farmed shrimp production in Kerala is 1,731tons

(C) MPEDA, 2019

Diversification of Aquaculture

The diversification of aquaculture activities will assist insourcing more raw material within the state and help toaugment the exports.

There are around 6 major candidate species suitable forexpanding aquaculture production in the state.

(C) MPEDA, 2019

Seabass Mud crab

Candidate species for Aquaculture Diversification in Kerala

(C) MPEDA, 2019

Tilapia (Genetically Improved

Farmed Tilapia)Cobia

Candidate species for Aquaculture Diversification in Kerala

(C) MPEDA, 2019

Fresh water prawn (Scampi)

Vannamei shrimp

Candidate species for Aquaculture Diversification in Kerala

(C) MPEDA, 2019

▪ If the state utilises 0.1% of42,000 Ha reservoir areaie., 42 Ha for cage cultureof commerciallyimportant species of fishlike Seabass, GIFT etc. theexpected production is1500 – 3000 MT of fish.

▪ Sold @ Rs. 200 per kg,this will earn Rs. 3 - 6Crore depending on thespecies farmed.

Opportunity for Development - Freshwater

(C) MPEDA, 2019

Freshwater Aquaculture

▪ Similarly, if the stateutilises 1000 ha area offreshwater ponds forscientific aquaculture ofTilapia, the productionwill be around 5,000 MT,earning Rs. 100 Crore@Rs. 200 /kg.

(C) MPEDA, 2019

Kerala is having 65,000 Ha of Brackish water area

Brackishwater area can be developed for farming vannamei or crab or Seabass

Development of 2,500 ha under scientific vannameifarming can yield 25,000 MT of shrimp (@ 10 tons /Ha in two crops)

The estimated revenue from the production is Rs. 750 Crore @Rs. 300/kg farm gate price.

Opportunity for Development - Brackishwater

(C) MPEDA, 2019

(C) MPEDA, 2019

Seabass cage culture in ponds

Brackish water Aquaculture

▪ Mud crab or mangrove crab is another high value item withgreat demand in live and soft shell forms in internationalmarkets.

▪ An area of 200 ha can be developed for mud crab culture iftwo crab hatcheries are established. The seed requirement is 1million.

▪ The expected production from 200 ha is 210 MT. Expectedrevenue is Rs. 12.50 Crore @Rs. 600/kg. For a harvest size of600g.

(C) MPEDA, 2019

Processing and Value Addition

(C) MPEDA, 2019

Processing and Value Addition

Prepared and preserved fish and fishery products arecoming under chapter 16 of ITC –HS which are highlyvalued added.

India’s export contribution for products under chapter 16 is5.03%.

Thailand’s & Vietnam’s contribution for the under chapter16 is respectively 64% & 26%.

At present major share of our exports are in raw andminimally worked form providing opportunities in valueaddition.

(C) MPEDA, 2019

Export processing infrastructure in Kerala

Facilities Number /Capacity

Registered exporters 246

Manufacturer Exporters 128

Total seafood processing plants 114

EU approved units 91

Non-EU units 23

Total installed capacity

(MT/day)

4,213

Frozen Storages (MT) 72,919

(C) MPEDA, 2019

Assistance schemes

(C) MPEDA, 2019

Technology development for

Specific Value Added Products

Assistance @ 50% of the cost upto a max. of Rs. 5

Crore*

Assistance for export handling units for Live/Chilled and

Dried marine products.

Assistance @ 50% of the cost upto a max. of Rs.

40 lakh*

SUPPORT FOR HIGH END & INNOVATIVE VALUE

ADDITION FOR EXPORTS

*as per scheme conditions

(C) MPEDA, 2019

Advantages for investment in Kerala

Good domestic demand

Availability of technically qualified man power

Presence of major R&D Institutes like MPEDA, CMFRI,CIFT, NIFPHATT, CIFNET, KUFOS & CUSAT

Aquaculture potential in reservoirs, lakes, back waters, baysand estuaries for fish, bivalves etc.

Potential for diverse ethnic seafood cuisine targetingMiddle East & Europe.

(C) MPEDA, 2019

Advantages for investment in Kerala

Increased freshwater fish production will help to expandthe fish processing units to inland areas.

Availability of inland waterways to mobilise seafood cargo.

4 international airports facilitating connectivity to East Asiaand Middle East for exports in live and chilled forms.

Sea port connectivity through Cochin and upcomingseaports like Vizhinjam & Colachel.

Cochin port is a designated port for import of seafood –which could be used for re-processing.

(C) MPEDA, 2019

Policy interventions

▪ The state may earmark traditional farming systems such asPokkali or Kol lands exclusively for native species such aswhite shrimp (Penaeus indicus) or black tiger shrimp(Penaeus monodon) throughout the year.

▪ These species also enjoy niche markets abroad.

(C) MPEDA, 2019

• Hatcheries for Tilapia, Sea bass and Mud Crab need to be established for meeting the seed requirements. MPEDA can provide technical assistance.

• Control Antibiotic Usage in Aquaculture - G.O. similar to AP Govt. may be brought out.

• State may set up disease diagnostics and antibiotic testing facilities nearer to farming areas.

• State may also encourage farming of bivalves (Oysters, mussels & clams) in estuaries and back waters .

Policy interventions

(C) MPEDA, 2019

• The lack of adequate infrastructure facilities in fishing harbours and landing centres leads to post harvest losses and reduction in quality of fish landed, and which in turn reduces the cost realization

• Upgradation of fishing harbours and landing centres to international standards is very much required to address this.

• Professional management bodies may be formed to manage the fishing harbours and landing centres.

• State may consider modernisation of fishing harbours and landing centers in PPP or BOT mode.

Policy interventions – Modernization of Fishing harbours

(C) MPEDA, 2019

Way forward

The seafood processing units of the states have a capacity toprocess around 4200 tons of seafood every day.

The average annual capacity utilisation is around 25-30%only.

State sources raw material from outside during leanseasons.

State shall become self sufficient in raw material throughincreased aquaculture production.

State may also encourage raw material imports for reprocessing and value addition.

(C) MPEDA, 2019

THANK YOU

(C) MPEDA, 2019