Budget 2025-26: Framework announced to tap into marine fisheries sustainably

Finance minister Nirmala Sitharaman signalled a boost for the fisheries sector in her speech announcing the Union Budget 2025-26 on February 1, 2025. The government, she said, will bring in an enabling framework for sustainable harnessing of fisheries from the Indian Exclusive Economic Zone and High Seas, with a special focus on the Andaman & Nicobar and Lakshadweep Islands.

The measure will help the country tap into its marine resources, the minister highlighted. 

“India ranks second-largest globally in fish production and aquaculture. Seafood exports are valued at Rs 60,000 crore,” Sitharaman noted. India’s seafood exports touched an all-time high in 2022-23, according to the Press Information Bureau.

Fisheries-linked stocks rallied after the announcement, with Coastal Corp rising 4 per cent and Apex Frozen gaining 5.2 per cent, reported Reuters.

She also announced tax cuts to help India compete better in the global seafood market. These included a reduction in the basic customs duty (BCD) on frozen fish paste (surimi) to 5 per cent from 30 per cent. Surimi is used in the production of frozen and processed seafood items, as well as for preserving aquatic products.

Sitaraman proposed to reduce BCD on fish hydrolysate for manufacture of fish and shrimp feeds to 5 per cent from 15 per cent. Fish hydrolysate is an important additive in the feed of harvested fish. 

This is in line with her opening remarks, calling "exports" as one of the four engines of Budget 2025-26.

Moreover, the loan limit under the Kisan Credit Cards scheme will be enhanced from Rs 3 lakh to 5 lakh. The scheme facilitates short-term loans for farmers, fisherfolk and dairy farmers.

The fishery sector was among the high-value sectors along with horticulture and livestock to have contributed to the growth of agriculture in 2024-25, according to the latest Economic Survey Report. The sector grew at a compound annual growth rate of 13.67 per cent. 

The report outlined the measures taken by the government to boost aquaculture productivity and improve fisheries management, such as the Pradhan Mantri Matsya Sampada Yojana (PMMSY) and the Fisheries and Aquaculture Infrastructure Development Fund (FIDF).

The Pradhan Mantri Matsya Sampada Yojana (PMMSY) was established to boost aquaculture productivity and improve fisheries management. Additionally, the Fisheries and Aquaculture Infrastructure Development Fund (FIDF) was introduced to provide financial support for developing infrastructure in both marine and inland fisheries. 

The outlay for PMMSY grew to Rs 2,465 crore for 2025-26 from Rs 2,352 crore budgetary estimate for 2024-25. The outlay for FIDF remained the same at Rs 30 crore. 

Apart from the direct stimulus to the fisheries sector, the government also announced it will establish a National Institute of Food Technology, Entrepreneurship and Management in Bihar to boost food processing activities in the entire eastern region. “This will result in enhanced income for the farmers through value addition to their produce, and skilling, entrepreneurship and employment opportunities for the youth,” Sitharaman noted in her speech.

She mentioned that the government will support the enhancement of infrastructure and warehousing for air cargo, including high-value perishable horticultural products. Cargo screening and customs procedures will be simplified and made more user-friendly.