Indian seafood and rice exporters are celebrating the US-India trade deal slashing tariffs from 25% (plus prior penalties) to 18%, restoring competitiveness against Thailand and Pakistan at ~19%. This relief revives stalled orders for shrimp, basmati, and frozen fish in America’s key market, amid record 149 million metric tonne rice output.
Export Sector Boost
- Rice Gains: Indian Rice Exporters Federation (IREF) hails price parity; Apr-Nov 2025 saw 199,558 tonnes basmati ($210M) and 40,960 tonnes non-basmati ($34M) to US despite hikes.
- Seafood Recovery: Seafood Exporters Association of India (SEAI) notes 15% volume drop to 201,501 tonnes ($1.72B) in same period; US is top destination post-China/EU, with frozen fish at 83% share.
- Russian Oil Relief: Expected waiver of extra 25% penalty tied to purchases, easing prior 50% total burden.
Strategic Impacts
Exporters credit PM Modi’s diplomacy, with no policy uncertainty voiced—tariffs deemed “geostrategic.” This pairs with EU FTA wins, fortifying India’s agri-exports.
