Oct 6, 2020
The global aquaculture production has been drastically been affected due to coronavirus pandemic. The economic steepness nationwide stay-at-home orders and slowed export flows affected all segments of the aquaculture value chain.
For farmed shrimp, lockdowns and closed food services have been disastrous, especially in India. According to a paper published in Aquaculture, researchers with India’s Central Institute of Brackishwater Aquaculture (CIBA) assessment that the sector will face a $1.5 billion loss for 2020-2021 due to the pandemic.
The research team at CIBA mapped the pandemic’s economic shocks to the farmed shrimp sector. The study found that Covid-19 outbreaks and restrictions negatively impacted each link of the industry’s supply chain. Shrimp hatcheries, farms, processors, retailers and exporters lost an estimated 30 to 40 percent of their business in the wake of India’s lockdown.
The study found that Covid-19 outbreaks and restrictions negatively impacted each link of the industry’s supply chain. Shrimp hatcheries, farms, processors, retailers and exporters lost an estimated 30 to 40 percent of their business in the wake of India’s lockdown.
Though the initial assessment is calamitous, and according to the researchers the targeted policy protections for the sector could keep businesses afloat through the first wave of the pandemic.
Officially classing aquaculture as an “essential activity”, enforcing economic protection measures like price controls and allowing producers to keep workers on the payroll during future lockdowns could keep firms solvent through the winter season.
After the India’s lockdown in March put the summer shrimp season in jeopardy, researchers estimate that the shrimp industry could face a $1.5 billion loss for 2020-2021. But government safeguards and improved labour retention could keep firms afloat for the winter season.