Seafood exporters to turn processors

The Centre has initiated a drive to sell India as the processing hub for marine products.

Capacity utilisation in the Indian marine food industry was as low as 20 per cent as domestic production has stagnated over the years. The government was now trying to market the excess capacity for job work as well as for value addition.

"There is a shortage of raw material both from sea and aquaculture. However, the quality of processing centres here is world class and matches EU and US norms," G Mohan Kumar, chairman, Marine Products Export Development Authority, said.

Liberalisation in the exim policy would facilitate raw seafood imports into India. Laws had to be made more flexible with the focus being on value addition and not weight.

"There is a standard input-output norm which is rigid. The emphasis is how much one export against import. We think, focus should be on value addition," Kumar pointed out.

Indonesia, Myanmar, Pakistan, Bangladesh and west Asian buyers could use India as a processing centre.

Foreign firms could use Indian facilities for processing and market the finished products themselves. Alternatively, Indian companies could import materials, add value and re-export products under owned brands.

However, exporters would also have to increase the variety of fish processed and exported out of India, to include deep marine life with a market in Japan and US.

The Union ministry of commerce has initiated a pilot project for new boats with longline nets suitable for tuna fishing and also processing facilities for tuna.

During 2003-4, seafood export stood at $ 1.33 billion with volume of 4,12,017 tonne.