The close relationship between India and Singapore received a flavorful endorsement recently when Commerce and Industry Minister Piyush Goyal engaged in what he called a "seafood chat" with Singapore's Prime Minister, Lawrence Wong. This informal exchange highlights the growing appreciation for Indian seafood, particularly fish and shrimp, in the Singaporean market and signals potentially increased trade and collaboration in the sector.
Singapore has shown a strong appetite for Indian seafood. In 2023, Singapore's imports of meat, fish, and seafood preparations from India amounted to US$7.37 million. Fish export shipments from India to Singapore have been substantial, with 663 shipments involving 18 Indian exporters and 23 Singaporean buyers. This existing trade is composed of various types of fish.
The recent discussions align with broader efforts to diversify and expand India's export markets. Amidst global trade shifts and rising tariffs, particularly from the United States, India is actively seeking new opportunities for its exporters. Piyush Goyal has been at the forefront of these efforts, engaging with numerous nations to forge new trade partnerships and reduce reliance on traditional markets such as the US and China.
A significant development that could further boost Indian seafood exports is the recent trade agreement with the United Kingdom. This agreement eliminates previous tariff restrictions, putting Indian seafood exporters on equal footing with competitors from Vietnam and Singapore in the UK market. The removal of these tariffs is expected to allow Indian firms to leverage their production capacity, workforce, and improved tracking systems to increase their market share in the UK. Government estimates suggest that this deal could lead to a 70 percent increase in India's seafood exports to the UK in the coming years.
The Indian seafood industry has been proactive in enhancing its quality control and product traceability to meet stringent international standards. This focus on quality and sustainability aligns with the global shift towards responsible sourcing and provides a competitive edge for Indian exporters. The Ministry of Fisheries has emphasized the importance of this deal in reducing over-dependence on traditional markets and enabling diversification.
Piyush Goyal's focus extends beyond just securing trade deals. He is actively engaging with domestic industries to support exporters and promote local products. This includes working with retail outlets to make Indian garments more accessible to domestic consumers and engaging with Export Promotion Councils to address global trade dynamics. The Ministry is also preparing delegations of seafood exporters to visit Singapore and the U.A.E. to find new buyers.
The emphasis on fisheries is also reflected in recent policy changes, such as the rationalization of the Goods and Services Tax (GST) across the fisheries value chain, bringing relief to fishing nets, seafood products, and aquaculture inputs.
While the "seafood chat" between Minister Goyal and Prime Minister Wong may seem like a lighthearted exchange, it underscores the serious potential for increased trade and collaboration between India and Singapore in the seafood sector. With a growing global demand for seafood and India's increasing focus on quality and sustainability, the future looks promising for Indian fish and shrimp in the Singaporean market and beyond.
