Shrimp Stocks Surge as India – US Trade Deal Hopes Lift Avanti Feeds, Apex Frozen Foods

Mumbai | November 19 –  India’s shrimp exporters staged a sharp rally on Tuesday as renewed optimism around the India-US trade deal triggered one of the strongest sector-wide moves in months. Shares of Avanti Feeds, Apex Frozen Foods, and Coastal Corporation jumped between 5% and 10% after Commerce Minister Piyush Goyal signalled that negotiations with Washington were nearing a “fair, balanced” conclusion.

The surge comes after a prolonged period of weakness for seafood exporters, who have been under pressure from the nearly 58% effective duty imposed by the United States on shrimp imports from India. Even a partial rollback of these tariffs would materially alter the sector’s earnings trajectory—and investors moved quickly to reprice that possibility.

Goyal’s Signal Sparks a Re-Rating in Export Stocks

Speaking at the Indo-US Business Summit, Goyal said India would only finalise the deal once concerns of farmers, fishermen and small industry were protected, but assured stakeholders that “good news” would follow once parity is achieved.

For the market, the comments were interpreted as the clearest indication yet that Phase-1 of the trade pact—including reciprocal tariff adjustments—is close to closure. The US has already increased levies on Indian shrimp to a punitive level, comprising:

• 25% base tariff
• 25% penalty linked to Russian crude imports
• 49% antidumping duty
• 77% countervailing duty

Bringing these duties down even marginally would immediately improve competitiveness for exporters who derive up to 48% of their shrimp export value from the US market.

Following this, among individual movers, Avanti Feeds share price surged nearly 10% to ₹841.50, its highest since June 2025. Trading volumes spiked ninefold across exchanges, with more than 5.1 million shares changing hands,an unusually large print for the counter.

The stock has now risen 21% in seven trading sessions, driven by both improving fundamentals and the emerging trade-policy tailwind.

Apex Frozen Foods share price hit a 52-week high of ₹306, rising 5% intraday and extending its 38% rally this week, supported by strong Q2 FY26 earnings.

Coastal Corporation also gained more than 9%, reflecting broad interest in shrimp-linked counters.

China-Japan Seafood Tensions Add a Second Tailwind

The rally was reinforced by reports that China has banned all imports of Japanese seafood, escalating tensions after political comments by Japan’s leadership.
China is one of the world’s largest seafood consumers, and many Indian companies—including Avanti and Apex already supply the Chinese market.

A potential diversion of Chinese demand toward non-Japanese suppliers could further lift order flows over the coming quarters.

Fundamentals Are Quietly Turning Around

While sentiment drove the day’s price action, quarterly earnings show that the sector’s recovery may already be underway.

Apex Frozen Foods (Q2 FY26)

• Net profit swung to ₹11.87 crore, from a loss of ₹1.67 crore last year
• Revenue grew to ₹238.34 crore, aided by export incentives and higher volumes

Avanti Feeds (Q2 FY26)

• PAT rose 38.9% YoY to ₹168.8 crore
• Revenue expanded 19% YoY to ₹1,610 crore
• Margins improved to 10.5%, supported by stable soybean meal, fishmeal and wheat flour prices

With raw material inflation easing and global shrimp demand rising, earnings visibility is improving at a time when valuations remain compressed.

A Cautious, But Decidedly Brighter Outlook

Despite the relief rally, risks remain, continued tariff pressures, volatile farm-gate prices, and the inherent exposure to global shrimp cycles. However, for the first time in nearly 18 months, trade policy, global demand, and company-level earnings are aligning a combination that has historically marked the start of stronger upcycles for the sector.

If India and the US were to finalise tariff reductions in the coming weeks, then Indian seafood exporters could enter FY26–FY27 on their strongest footing since the pre-tariff era.