Avanti Feeds, Apex Frozen Foods, Coastal Corp: Seafood shares rise up to 20% today; here's why

Shares of Avanti Feeds, Apex Frozen Foods and Coastal Corporation- manufacturers and exporters of shrimp feed rose up to 20% on Wednesday after the European Union (EU) cleared 102 additional marine product units from India for exports, making them eligible to supply to the bloc. EU is India's second-largest seafood export destination. 

The latest move will help increase India's seafood exports to EU by about 20%, according to a govt official. 

With this, a total of 604 Indian units are listed by the EU.

Avanti Feeds shares rose nearly 15% to Rs 756.20 on Wednesday against the previous close of Rs 659.20 on BSE. Avanti Feeds market cap grew to Rs 10,123 crore. 

Apex Frozen Foods stock hit an upper circuit of 20%, rising to Rs 262.70 in late morning deals. Market cap of the seafood firm rose to Rs 817 crore. 

On similar lines, Coastal Corporation shares hit an upper circuit of 20%  at Rs 37.57 against the previous close of Rs 31.31 crore. 

India's shrimp exports in 2024-25 were $4.88 billion, accounting for 66% of the total seafood exports.

On the rationale behind EU approving new Indian marine units, Incred Equities said, "The EU is the third-largest shrimp market after the USA and China. With Ecuador dominating the commodity segment, India’s edge lies in value-added shrimp. Indian shrimp is preferred in the EU, but barriers — including the long freeze on plant approvals — had left India fighting with one hand tied. With plant approvals now cleared, the next priority is addressing both tariff and non-tariff barriers that continue to restrict Indian access to the EU market."

"Despite near-term concerns, the Indian shrimp sector continues to show strong upward momentum," the brokerage added. 

"The EU has listed 102 new Indian fishery establishments for export from India to EU member countries. This significant expansion reflects the growing confidence in India's food safety and quality assurance systems and marks a major step forward in enhancing market access for Indian seafood products specially aquaculture shrimps and Cephalopods (Squid, Cuttlefish and Octopus)," the commerce ministry said.