The United States of America, the largest market for Indian seafood, has enhanced the anti-dumping duty on the shrimps to 2.34 per cent from 0.84 per cent putting exporters in a tizzy.

The Department of Commerce (DoC) has preliminarily determined that certain frozen warmwater shrimp from India is being sold in the United States at less than normal value during the period of review (POR) February 1, 2016 to January 31, 2017.

While the rate for Devi Fisheries, one of the largest seafood exporters in the country, has been set at 2.34 per cent, for Liberty Group it is zero per cent. Both Devi Fisheries and Liberty Group were mandatory respondents to the review.

Except Liberty Group, the enhanced duty will be applicable to all the exporters exporting shrimp to US.

“We preliminarily determine that sales to the United States have been made below normal value and, therefore, are subject to antidumping duties. If these preliminary results are adopted in the final results of this review, we will instruct US Customs and Border Protection (CBP) to assess antidumpingduties on all appropriate entries. We invite all interested parties to comment on these preliminary results”, the DoC said.

“When the final duty will be declared we will know the impact.

This is preliminary determination of duty declared by the United States”, said Tara Patnaik chairman of Falcon Marine Exports Ltd.

The surge in duty has come at a time when senators are blaming Indian exporters for shipping heavily subsidized shrimps.

Recently, eleven US senators -- Republicans and Democrats -- came out in support for inclusion of shrimp under the Seafood Import Monitoring Program (SIMP). After implementation of the prgramme, shrimp importers will be forced to adhere to similar standards that the US shrimp industry has been required to meet for years. The USA’s primary sources of shrimp import include India, Indonesia, Thailand, and Vietnam.

“US President Donald Trump is leaving no stones unturned to protect its domestic producers cutting across sectors by increasing duties. The increased anti dumping may be a step towards that to discourage imports in USA”, said a trade source.