Tuesday, 02 January 2024 12:17 GMT

Big Catch: India Wins US Nod For Seafood Exports Rivals China, Mexico Face Ban


(MENAFN- Live Mint)

New Delhi: In what has come as a relief to India's seafood industry, the US National Marine Fisheries Service (NMFS) has said that India's exports meet America's mammal protection standards, allowing their continued shipments.

Interestingly, India's seafood export rivals-China, Mexico, and Ecuador-were denied certification, barring certain fisheries exports to the US beyond 31 December, two government officials aware of the development said.

The US mammal protection standards refer to rules that prevent killing or wounding marine mammals such as dolphins and whales while fishing . The US requires exporting nations to show that their fishing methods don't harm sea mammals more than what is permitted for American fishers.

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NMFS's approval of Indian marine exports comes at a time when Chinese processors are increasingly sourcing Indian shrimp for re-export. The NMFS certification comes in the backdrop of India and the US continuing their bilateral trade agreement (BTA) talks. India exported seafood worth $7.39 billion in FY25, of which more than a third or $2.68 billion went to the US. Indian shrimp exports to the US are currently less competitive than those from Ecuador, Vietnam, and Indonesia due to the steep 50% tariff.

The development removes a major potential non-tariff barrier for Indian seafood exports, especially shrimp aquaculture, which is India's largest export to the US. While tariff-related challenge remains, India's compliance under the MMPA (Marine Mammal Protection Act) strengthens its position as a responsible and sustainable seafood exporter, said the first of the two government officials cited earlier, both of whom spoke on the condition of anonymity.

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When contacted through email, the NOAA Fisheries, also known as the National Marine Fisheries Service, said: "The MMPA import provisions team is currently in a furlough status. We will respond to emails once government functions resume. "Please note fish and fish products originating from a denied fishery will be prohibited from import into the United States on January 1, 2026," it added.

Queries emailed to India's ministry of fisheries, animal husbandry, and dairying remained unanswered till press time.

"It's a positive step in the right direction. However, as long as the high tariff is there, this is not going to help Indian exporters much," said Alex K. Ninan, vice-president, The Seafood Exporters Association of India.

The United States Marine Mammal Protection ACT is a US federal law that aims to protect marine mammals and their habitats. While the MMPA primarily applies to US waters and activities, it also has implications for seafood exporting countries that wish to export their products to the US.

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In 2017, the US introduced provisions under the MMPA that required all seafood exporting nations to demonstrate that their fisheries have protection measures comparable in effectiveness to US standards to limit injury and mortality of marine mammals such as whales, dolphins, porpoises, seals.

"Under the MMPA countries seeking to export seafood to the US must obtain a comparability finding through a certification process conducted by the US National Marine Fisheries Service (NMFS)," said the second official. This evaluates whether exporting countries have effective regulations and measures to reduce incidental catch of marine mammals while fishing.

According to the first official, the NMFS had earlier noted that the overall risk of marine mammal bycatch (unintended catch of non-target species) in Indian fisheries is“high."

To ensure sustainability and uninterrupted seafood exports to the US, the government has supported a project titled 'Marine Mammal Stock Assessments in India' with a total cost of ₹13.28 crore under the Central Sector Scheme, said the second official.

According to the second official, NOAA Fisheries announced its MMPA comparability determinations in the Federal Register, covering around 2,500 fisheries across 135 nations. Of these, 240 fisheries from 46 nations were denied comparability findings, restricting their ability to export to the US, according to NOAA Fisheries website.

Following these engagements, NMFS has granted India a comparability finding, confirming that its fisheries meet US marine mammal protection standards. The approval ensures India's seafood exports can continue to the US beyond the 31 December 2025 deadline.

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