Vijayawada: A sharp increase in aqua feed prices has placed shrimp farmers across Andhra Pradesh under severe financial strain, with rising cultivation costs threatening the sector's viability. Farmers reported that the sudden hike in feed prices has escalated their investment burden at a time when they already face challenges due to unstable market prices and uncertain returns. Surprisingly, feed producers increased prices despite the state government's warning to hold off until talks with farmers were concluded.
Feed Price Details
According to farmers, major aqua feed companies have raised prices of various shrimp feed varieties by Rs 10 to Rs 12 per kilogram. The revised prices took effect from June 13, further increasing the cost of shrimp cultivation. Aqua feed constitutes one of the largest expenses in shrimp farming, accounting for a significant portion of total investment.
Impact on Farmers
Farmers said the increase in feed prices would add thousands of rupees to the cost per acre of cultivation, making it difficult for small and medium farmers to sustain operations. As per regulations, feed producers should increase prices only after consulting farmers. In fact, feed companies had already raised prices by Rs 4,000 per tonne in February and further hiked prices ranging from Rs 10,000 to Rs 14,000 per tonne with immediate effect.
The price rise has affected farmers in major aqua cultivation areas, including coastal districts of Andhra Pradesh. Farmers noted they are already spending heavily on seed, medicines, pond preparation, labor, and electricity, and the additional increase in feed costs has created more financial pressure. Industry estimates indicate that cultivation costs have risen significantly in recent years.
Market Disparity
Farmers pointed out that while feed prices have been continuously rising, shrimp market prices have not increased proportionately, affecting their profit margins. Many farmers who invested through loans are worried about recovering their expenses.
“The increase in feed prices would directly impact production costs and could affect the competitiveness of Andhra Pradesh’s shrimp exports. The state is one of the leading contributors to India’s aquaculture exports, with thousands of families depending on shrimp farming and related activities,” said Vaddi Raghuram, former chairman of APSADA.
Call for Action
Farmers urged authorities and stakeholders in the aqua sector to examine the issue and take steps to support cultivators. They said ensuring affordable inputs is essential for protecting farmers' livelihoods and maintaining Andhra Pradesh’s position as a major aquaculture hub.
