Rising input costs add pressure on aquaculture sector already grappling with export uncertainties and falling shrimp prices
Shrimp farmers in Andhra Pradesh are facing a new wave of challenges as rising aqua feed prices threaten to erode profitability across the state’s aquaculture sector. The increase in feed costs comes at a time when farmers are still recovering from export-related disruptions and tariff pressures that have affected demand and market sentiment in key overseas markets.
Industry stakeholders note that aqua feed accounts for a significant share of shrimp cultivation costs, making any increase in feed prices a major concern for farmers. Recent hikes in the cost of feed ingredients, particularly soybean-based raw materials and fishmeal, have pushed up production expenses and intensified pressure on growers. The Andhra Pradesh government has raised the issue with the central government, seeking measures to stabilize input costs and protect the livelihoods of aqua farmers.
The situation has become more difficult due to declining shrimp procurement prices in recent months. Farmers report that lower market rates, combined with higher feed costs, disease outbreaks, and weather-related challenges, have significantly reduced margins and, in some cases, pushed cultivation into loss-making territory. Industry estimates suggest that nearly eight lakh people in Andhra Pradesh depend directly or indirectly on aquaculture, highlighting the broader economic impact of the crisis.
Responding to concerns from farmer groups, the state government has initiated discussions with feed manufacturers, exporters, and industry representatives. Authorities have explored options including feed price monitoring, regulatory mechanisms, and measures to improve the availability of critical raw materials used in feed production. Earlier interventions by the government helped suspend proposed feed price increases, while more recent negotiations resulted in a reduction in aqua feed prices by ₹4 per kilogram.
Industry leaders warn that unless feed costs are brought under control and market conditions improve, shrimp cultivation could decline in several coastal districts. Farmers are urging both state and central governments to introduce supportive measures, including input subsidies, better price stabilization mechanisms, and policies that ensure sustainable growth of the aquaculture sector.
Despite the challenges, stakeholders remain optimistic about the long-term prospects of Indian seafood exports. However, they stress that immediate relief on feed costs and stronger support mechanisms will be crucial to helping Andhra Pradesh’s shrimp farmers navigate the current period of uncertainty and maintain the state’s leadership in aquaculture production and exports.