Shares of Avanti Feeds, Waterbase, and Apex Frozen Foods experienced notable gains after Finance Minister Nirmala Sitharaman announced new measures for shrimp farming in the Union Budget 2024.
The Finance Minister revealed substantial cuts in Basic Customs Duty (BCD) for inputs related to shrimp and fish feed. This move is expected to boost the shrimp farming industry and enhance exports. The government also plans to promote shrimp farming and facilitate financing through the National Bank for Agriculture and Rural Development (NABARD).
Apex Frozen Foods saw its shares rise over six percent, reaching a high of ₹271.95. Avanti Feeds and Waterbase also benefited, with their shares climbing five percent and four percent, respectively.
Marine product exports have recently faced a decline, touching $6.34 billion from April 2023 to January 2024, which is 7.5 percent less compared to the previous year. The Budget’s emphasis on supporting shrimp farming could help reverse this trend and boost exports.
Earlier in the year, the interim Budget announced the creation of five integrated aquaparks, with the first one inaugurated in Tarin, Arunachal Pradesh, in 2022. The government allocated ₹43.59 crore for this aquapark to support fishing activities and provide a platform for fish farmers.
The Matsya Sampada Yojna, a central scheme aimed at enhancing the fisheries sector, has been instrumental in doubling aquaculture output. With an estimated investment of ₹20,050 crore, the scheme seeks to advance the Blue Revolution through sustainable fisheries development. It is being implemented across all states and union territories from FY21 to FY25.
