New Delhi: In a major development, the shares of seafood exporting companies witness a major spike. According to the trading session, the shares of India’s leading seafood exporters saw a sharp surge.
Stocks of Avanti Feeds Limited, Apex Frozen Foods Limited, Waterbase Limited, IFB Agro Industries Limited, and Coastal Corporation Limited jumped by up to 20 percent.
Several positive factors are being cited as the reason behind this rally, which has increased investors’ interest in these stocks. The biggest trigger is said to be the European Union’s approval, granted on Tuesday, to 102 new Indian fishery units for exports.
It should be noted that this important announcement has come at a time when India and the European Union are currently in the middle of the 13th round of negotiations on the Free Trade Agreement (FTA), which signals strengthening trust between the two trading partners. In FY 2024, India’s seafood exports to the European Union reached USD 1.1 billion, reflecting the significance of this market for the domestic fisheries sector.
Here are some of the key details:
- Export opportunities for the Indian seafood industry in the European market are set to expand further.
- Following this approval, the number of Indian export units will rise by nearly 16%, which is expected to boost export volumes and improve company earnings.
- According to the Ministry of Commerce, the European Union’s approval for 102 new fishery units to export will immediately boost trading volumes by more than 20 percent.
- The ministry stated that this move is a positive sign for the ongoing 13th round of FTA negotiations between India and the EU.
The listing of these units by the European Union was a long-standing demand from India. This approval will not only open up a new market for Indian seafood exporters but also strengthen India-Europe trade relations.