June 22, 2026
 

India's Andhra Pradesh secures aqua feed price cut as soybean import curbs squeeze manufacturers

Feed manufacturers cited restricted access to low-cost US soybean as a key driver of the price hike that prompted state intervention.

 

India's Andhra Pradesh secures aqua feed price cut as soybean import curbs squeeze manufacturers

 

Feed manufacturers cited restricted access to low-cost US soybean as a key driver of the price hike that prompted state intervention.

 

Andhra Pradesh Chief Minister N. Chandrababu Naidu has secured an agreement between aqua feed manufacturers and farmers to cut feed prices by Rs4 per kilogramme, reducing the maximum retail price from Rs112/kg to Rs108/kg (approximately US$1.27).

 

The agreement followed a meeting at the State Secretariat in Amaravati on 18 June, called to resolve a price hike crisis affecting the state's aquaculture sector. The Chief Minister also ordered the formation of a committee comprising aqua farmers, feed manufacturers and officials to develop a long-term feed price stabilisation mechanism, with a report due within 20 days. The committee will also examine processing-related issues and pollution control measures.

 

Feed manufacturers attributed the price increase to shortages of key raw materials, particularly soybean and fishmeal, combined with rising domestic prices. They told the Chief Minister that imports of lower-cost soybean from the United States are currently not permitted, forcing manufacturers to source soybean domestically at nearly double the price.

 

Farmers raised concerns that input costs had risen significantly while aqua produce prices had not increased proportionately. They requested greater awareness of subsidies offered by the Fisheries Department, exemptions from certain empanelment requirements under subsidy schemes, and broader insurance coverage for shrimp ponds. They also called for support in establishing nursery ponds and ensuring adequate water supply for fish and shrimp farms, which the Chief Minister said would be addressed.

 

Naidu said the government has provided Rs1,543 crore (approximately US$181.5 million) in electricity subsidies to the aquaculture sector over the past two years, including a subsidised power rate of Rs1.50 per unit. He said protecting the sector, which supports a large share of livelihoods across the state's coastal belt from Srikakulam to Nellore, remains a key priority for the government.

 

- IANS