Rupee fall fails to cheer sea food exporters

The falling rupee is not quite cheering up the sea food exporters in the state as it ideally should.

Due to decline in production of Black Tiger shrimp, a major export value item from Odisha, exporters are unable to meet the demand of the importers.

"Demand from the importers is upbeat with the devaluation of Indian rupee against dollar. Finding it cheap, they (importers) are keen to buy marine food items from India, but the problem lies in the supply part as the stocking this year is low compared to the previous year," said Gorachand Mohanty, President, Seafood Exporters Association of India-Odisha region.

Mohanty expected that the production of Black Tiger shrimp is likely to dip by fifty per cent from about 12,000 tonne last year due to low stocking.

Exporters say those farmers, who had shifted to Vannamei shrimp farming process, are facing hurdles to export their produce due to stricter norms imposed for registration and obtaining licenses.

Sources say, out of 16,000 hectares under aquaculture in the state, only 4,327 hectares belonged to registered farms.

Besides, under realisation of shrimp prices last year has affected the stocking of shrimps this year. The shrimp production in the current cultivations season (June-July) may be down by 65 per cent compared to previous year's comparable period.

"Sea food exporters will not benefit from the devalued rupee as production is very low. Farmers were discouraged to go for shrimp cultivation this year due to low prices realized last year," said Ramesh Mohapatra, president, Utkal Chamber of Commerce and Industry (UCCI) and a leading sea-food exporter. Further, there are also loss of crops due to outbreak of white spot disease, he added. Marine product exports from the state were valued at Rs 903 cr in 2012-13, an increase of 13.87 per cent over Rs 792.75 crore in 2011-12.