Fisheries department statistics put inland fish production reduced from 2.42 lakh tonnes in 2015-16 to 1.97 lakh tonnes the next year.
"The failure of north east monsoon during 2016 resulted in scarcity of water in all water bodies which affected inland fish production of the state," it said.
The failure of northeast monsoon, besides the scanty rainfall received in the earlier southwest monsoon also, had resulted in an unprecedented drought, with the government declaring all 32 districts as 'drought-hit.'
The potential of inland fisheries sector was estimated at 4.50 lakh tonnes during normal rainfall, it added.
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It said the state's total fish production in 2016-17 was about 6.69 lakh tonnes and that about 79,400 tonnes of marine products worth Rs 3,914 crore were exported.
Marine fish production was an estimated 4.72 lakh tons, it added.
The department was also taking up a slew of initiatives to benefit fishermen, including those affected by the Sri Lankan Navy by way of apprehension.
In this scheme, the Centre will contribute Rs 200 crore while the rest will be the state's share.
Fishermen will also get 70 per cent subsidy assistance for diversification of trawl fishing boats of Palk Bay into deep sea fishing boats.
The Centre will contribute 50 per cent while the state will share 20 per cent, the Fisheries department added.