 "Liberalised FDI policy to boost fish processing industry")
Yesterday, the Union Government, along with a host of other decisions to radically liberalise the FDI regime in the country, announced 100-percent FDI through automatic route for sectors such as aquaculture and pisciculture (or fish farming that involves breeding and rearing fish commercially in tanks or enclosures). According to industry experts, the move will attract global companies to invest in the Indian aquaculture industry.
“A 100% FDI in aquaculture and pisciculture is a welcome initiative by the government and will help with the Blue Revolution. This will open up the sector to new avenues of financing and access to advanced international aquaculture & cage culture technology. This is a great opportunity for the Indian aquaculture companies to partner with the incoming foreign players,” said Kamlesh Gupta, chairman & managing director, WestCoast group, a fully integrated aquaculture company in India.
As per FDI Policy 2016, FDI in pisciculture and aquaculture was allowed 100 percent under automatic route under ‘controlled conditions’. Controlled conditions indicate, aquarium hatcheries where eggs are artificially fertilised and fry are hatched and incubated in an enclosed environment with artificial climate control. However, with yesterday’s announcement it has been decided to do away with this requirement of ‘controlled conditions’ for FDI in these activities. This is expected to help the country in boosting its fish production and exports with high-valued products.
“Currently in India, aquaculture is based largely on shrimps and low value fish. This initiative by the government will allow to expand the potential of genetically developing many more suitable species considering the demographic landscape of India,” added Gupta.
“A 100% FDI in aquaculture and pisciculture is a welcome initiative by the government and will help with the Blue Revolution. This will open up the sector to new avenues of financing and access to advanced international aquaculture & cage culture technology. This is a great opportunity for the Indian aquaculture companies to partner with the incoming foreign players,” said Kamlesh Gupta, chairman & managing director, WestCoast group, a fully integrated aquaculture company in India.
As per FDI Policy 2016, FDI in pisciculture and aquaculture was allowed 100 percent under automatic route under ‘controlled conditions’. Controlled conditions indicate, aquarium hatcheries where eggs are artificially fertilised and fry are hatched and incubated in an enclosed environment with artificial climate control. However, with yesterday’s announcement it has been decided to do away with this requirement of ‘controlled conditions’ for FDI in these activities. This is expected to help the country in boosting its fish production and exports with high-valued products.
“Currently in India, aquaculture is based largely on shrimps and low value fish. This initiative by the government will allow to expand the potential of genetically developing many more suitable species considering the demographic landscape of India,” added Gupta.