The downward trend in the export earnings has affected the marine products during the current fiscal. Exports decreased by seven per cent, in dollar term, compared to the same period in the last fiscal.
It is reported that this set back is mainly due to the low unit price realisation in the global market. In March-April 2000, the price for one kg prawn in the US was around $18-20.
But the current price level is below $13 a kg. The price level of other varieties of fishes and fish products has also decreased due to tough competition.
It is reported that 30 per cent decrease has been effected in the prices at an average. The marine products exports, last year, had touched an all time record Rs 6,400 crore.
But this has been just reversed in the first two months of the current fiscal.
Jose Cyriac, chairman, Marine Products Export Development Authority is confident that the initial set back will not continue as there is increased demand from Europe.
Due to economic slowdown in the US demand for marine products especially that of high priced products has been affected badly. US and Japan, which are the main importers of Indian marine products are placing orders for lower quantities, he said.
Eventhough Europe opens up new avenues in the global market, according to Jose Cyriac, competition among the exporting nations is of the highest order.
During last two years India was the major supplier in the International market. This was due to the set back in the production front of other exporting countries by way of virus infection.
Fish farming in countries like Equadore was almost eradicated due to virus infection.
But the situation has changed and now the global supply of marine products has been improved considerably.
This is the main reason for the low price realisation in the market.
But Jose Cyriac said that he was optimistic about the export market and at the end of the current fiscal the income level will be improved considarably.
