The livelihoods of more than 50 million individuals across the globe hinge on the fishing industry for their daily income, with an additional 150 million people relying on various fishing-related sectors for their sustenance. Moreover, aquaculture has gained prominence in recent years as a sustainable alternative, aiding to export fish from India and alleviating some of the pressures on wild fish stocks.
India stands out as a significant player in the global fish export arena. In 2022 alone, the fish export industry in India generated revenue exceeding 579 billion Indian Rupees. This places India as among the five largest fish exporters globally. The Indian government is actively committed to facilitating and advancing fish exports from the country, with the goal of elevating India’s stature as a prominent seafood exporter.
Fish Export from India: Government’s Commitment
The Indian government is taking substantial measures to export fish from India. This initiative holds significant promise for both the seafood industry and India’s economic development. With over 15 million people employed in the fishing and seafood sector, it plays a pivotal role in India’s economy. To ensure its growth and sustainability, the government has initiated crucial steps.
MPEDA’s Role to Export Fish from India
The government has tasked the Marine Products Export Development Authority with the responsibility of submitting a memorandum outlining the industry’s requirements. Once this memo is received, the government will take proactive measures to rectify shortcomings within the industry, thereby elevating its overall standards.
Strategic Goals to Export Fish from India
The Indian government has set ambitious targets to expand India’s market share in the global seafood industry and to export fish from India. Their goal is to increase India’s market share to an impressive 6.7% by the year 2030. This vision recognizes the enormous potential of the seafood industry in India.
Beyond the direct impact on the seafood industry, it’s important to note that this sector also employs over 40.5 million people through related sectors and subsidiary ventures, contributing 1% to India’s gross domestic product (GDP).
To achieve the government’s set target, the seafood industry must reach a valuation of INR 1 trillion by 2025, which is double its worth in 2019. This ambitious goal reflects the government’s determination to not only support the industry but also drive substantial economic growth through fish exports.
The Indian government’s commitment to boosting fish export is poised to transform the seafood industry and significantly contribute to the nation’s economic development. With strategic objectives and a dedicated approach, India’s fish export industry is set for substantial growth in the coming years.
Challenges Faced by the Fish Export Business in India
The business to export fish from India has encountered several hurdles while striving to expand its reach into global markets. Despite a commendable increase in fish production, the industry grapples with specific challenges that hinder its growth and market penetration. The key obstacles faced by the Indian fish export sector to export fish from India include the following:
Ambitious Production Targets
The Indian government, in its latest budget, set an ambitious goal of increasing fish production to 20 million metric tons by 2023, representing a 50% increase from 2019. While this signifies the government’s commitment to the sector, it also adds pressure to meet this substantial production target.
Fish Production Rankings
Andhra Pradesh leads the nation in fish production, boasting 3.99 million metric tons, followed closely by West Bengal with 1.77 million metric tons. Although these numbers are impressive, the export business faces unique challenges in reaching and satisfying international markets.
Challenges in Exporting to Key Markets
Other than these challenges, there are some other ones to export fish from India to major markets such as:
1. Japan: Stringent Inspections and Certifications
The fish export industry in India has experienced limited growth in the Japanese market due to additional inspections and the requirement for certifications and audits. These stringent measures are imposed in compliance with Japan’s rigorous food safety standards.
2. European Union: Antibiotic Contaminants Testing
To export fish from India to the European Union, it must undergo extra testing for various antibiotic contaminants. This requirement stems from a study that uncovered deficiencies in India’s food safety controls. Meeting these additional testing demands is a significant challenge for Indian fish exporters.
3. United States of America: Wild Shrimp Ban
The United States, a major importer of Indian shrimps, recently imposed a ban on the purchase of wild-caught shrimp from India. This decision resulted from concerns over the use of devices that do not exclude endangered turtles during wild shrimp catching. Indian exporters have argued that these endangered turtle species are not found along the west coast where most shrimp is caught.
4. China: Stricter Inspection Norms
China, another critical market for fish exports, has implemented stricter inspection norms and control measures. These measures have created additional challenges for Indian fish exporters, adding to the complexities of accessing the Chinese market.
While India’s fish production has been on the rise, the business to export fish from India faces formidable challenges in expanding its presence in key international markets. The industry must navigate stringent regulations, additional testing, and market-specific restrictions to overcome these obstacles and achieve its growth ambitions.
Essential Documents Required for Exporting Fish from India
To export fish from India involves a series of documentation to ensure smooth and compliant transactions. The essential documents required to export fish from India are:
1. Importer/Exporter Code:
It is a mandatory code issued by the Directorate General of Foreign Trade and is essential for all export activities.
2. Directorate General of Foreign Trade Registration:
Register your exporting company with the Directorate General of Foreign Trade to participate in foreign trade activities.
3. Shipping Bill:
The shipping bill is a customs declaration form used for the export of goods. It contains details of the exported products, their value, and destination.
4. Bill of Export:
A formal document that serves as evidence of the goods being shipped out of the country.
5. Business Identification Number (BIN) from Customs Department:
The BIN is a unique identifier assigned to businesses involved in customs transactions. It helps track and manage customs-related activities.
6. Bill of Lading:
It’s a legal document issued by the carrier that acknowledges receipt of goods for shipment. It also serves as a title of goods and evidence of the contract of carriage.
7. Export General Manifest (EGM):
EGM is a document filed with customs authorities, providing information about the goods loaded onto a vessel or aircraft for export.
8. Commercial Invoice:
The commercial invoice is a crucial document that lists the details of the goods being exported, including their quantity, value, and other important information.
9. Packing List:
This document provides a comprehensive list of the items included in each shipment, specifying their quantity, weight, and packaging details.
10. Certificate of Origin (from MPEDA – Marine Products Export Development Authority):
This certificate confirms the origin of the exported fish products and is often required by customs authorities in the importing country.
11. Health Certificate (from Export Inspection Agency):
The health certificate attests that the exported fish products meet the health and safety standards of the importing country.
12. Catch Certificates (from MPEDA):
These certificates verify the legality and source of the fish, ensuring that they are caught in compliance with regulations.
13. Registration Cum Membership Certificate (from MPEDA):
This certificate signifies membership with the Marine Products Export Development Authority (MPEDA), which plays a crucial role in regulating fish exports from India.
14. Certificate of Incorporation of the Business:
Proof of the legal existence and registration of the exporting business entity.
15. Valid ID and Address Proof of the Applicant:
Personal identification and address verification of the individual associated with the export business.
16. Passport-size Photographs (Two):
Photographs of the applicant for various documentation and identification purposes.
Procedure for How to Export Fish from India
To export fish from India is a profitable venture, but it involves complying with various legal requirements and quality standards. The process of how to export fish from India while ensuring compliance and quality control is as follows:
1. Obtain Import Export Code (IEC):
- Registration: Start by registering your exporting company with the Director-General of Foreign Trade (DGFT).
- IEC Certificate: Obtain an IEC License from DGFT, which is mandatory for all export activities.
2. Ensure Compliance with Overseas Market Access Requirements:
- Export Certificates: Acquire all necessary export certificates and official assurances to meet the Overseas Market Access Requirements. These requirements vary by the importing country.
- General Requirements for Export: Familiarize yourself with the importing country’s General Requirements for Export to maintain statutory compliance.
3. Quality Control and Licensing:
- Compliance Guidelines: As the fish export business is subject to strict quality control, ensure compliance with relevant guidelines.
- Toxic Substances and Labelling: Obtain certificates confirming that your fish products are free of toxic substances and correctly labelled.
4. Focus on Labelling and Packaging:
- Allergen Awareness: Pay special attention to labelling and packaging criteria, considering that seafood can trigger allergies in consumers.
- Special Packaging: Use appropriate and secure packaging methods to preserve product quality during transportation.
5. Maintain Hygienic Practices:
- Hygiene and Handling: Follow good hygienic practices when handling and transporting fish products.
- Refrigeration: Ensure proper refrigeration during transportation to maintain product freshness.
- Hazard Analysis Critical Control Point: Consider implementing the Hazard Analysis Critical Control Point system to guarantee food safety and quality.
6. Streamline Customs Clearance:
- Indian Customs and Excise Gateway: Utilize the Indian Customs and Excise Gateway to expedite customs clearance.
- Online Application: Submit an online application for an export license through this platform, along with the required supporting documents and processing fees.
7. Engage Customs House Agents:
- Registered CHAs: To accelerate the clearance process, you can enlist the assistance of Customs House Agents registered under the Commissioner of Customs.
To export fish from India is a complex process that requires adherence to legal regulations, quality control measures, and hygiene standards. By following these steps and ensuring compliance at each stage, your fish export business can operate successfully and tap into international markets.
Final Thoughts
The Indian fish export industry represents a vital economic sector with promising growth potential. The government’s commitment to this sector, coupled with ambitious production targets and strategic goals, underscores its significance on the global stage to export fish from India. However, challenges exist, including stringent quality standards and market-specific regulations.
Dealing with this requires meticulous adherence to legal compliance, proper documentation, and rigorous quality control. With efficient customs processes and the involvement of Customs House Agents, exporters can overcome these hurdles. In the end, while exporting fish from India demands diligence, it offers substantial rewards, contributing to both business prosperity and India’s role as a leading seafood exporter.
