Best Aquaculture Sector Stocks

As we entered 2026, India’s aquaculture industry remains a bright spot of the country’s farm products export and rural/semi-urban economy. India is traditionally an agri/farm-savvy economy with an extensive coastline across the country in the east, west, and also the south, led by both sea & freshwater products. India is the world’s 2nd largest aquaculture and 3rd largest freshwater fish producer. India’s total fish production is now almost 18 million tons (MT), with aquaculture contributing almost 75%. The Aquaculture industry is ensuring millions of livelihoods & strategic food security of the country with a significant contribution to India’s exports.

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India’s aquaculture industry: overall structure & outlook

India is presently the world’s 6th largest exporter of farm/aquatic products, led by shrimps, especially L. vannamei species remains the leader, while inland species like Indian major carps, pangasius, and tilapia cater to domestic demand. Chia is the number one global exporter of aquatic products, having ~36% of global share, followed by Indonesia (~7%), India (~6%), Vietnam (~5%), and Bangladesh (~4%).

India’s key aqua products include frozen shrimp (dominant export), freshwater fish, scampi, and value-added items. Services encompass aqua feed (market ~U.S.D 3-3.5 billion), hatcheries, probiotics, equipment (biofloc/RAS systems), processing, and traceability certification. India’s domestic consumption has risen steadily, with per capita fish intake increasing to around 11 kg annually from 6 kg in pre-COVID times (2019), driven by health awareness, price stability, and rapid urbanisation. Approximately 85% of production is consumed locally and 15% exported globally.

Tariffs headwinds-U.S.

India’s aqua products exports averaged ~$7-8 billion in the last 6 years (2019-2025), peaking at $8.09 billion in FY23, with frozen shrimp comprising ~65%. FY25 recorded ~$7.45 billion. Despite U.S. tariffs escalating to ~50% effective in 2025, early FY2025-26 data (April-October) showed resilience with 16% value growth. Aqua exports contribute around 1% of India’s total exports (goods + services) of around $800 billion at present. India’s Federal government initiatives, like Pradhan Mantri Matsya Sampada Yojana (PMMSY) and its sub-scheme, provide critical support.

The 2026 outlook projects ~6% CAGR amid subdued growth due to trade frictions with the U.S., but bolstered by diversifications to China, Vietnam, the EU, Russia, and Australia; key products & services include shrimps, various fishes, and also aqua feeds. Domestic issues include cold chain & logistic gaps-causing losses despite rising demand; AP and WB are the two largest & key producer states in India.

The U.S. is India’s largest destination for exports, contributing almost 35%, followed by China, the EU, and Japan. India is a net exporter of aqua products with negligible imports, mainly of high-value premium products (~$0.15 billion). After the U.S. tariffs of 50% on Indian products, the U.S. export revenue dropped by almost 18%, while the margin contracted by around 5.5% to accommodate a 25% additional Russian oil levy. This has also affected the livelihoods of thousands of households in key producer states like AP (~INR 0.25 trillion loss). The U.S. may impose phased tariffs of 10-40% on Indian shrimp products from 2026 (under the India Shrimp Tariff Act) even after a potential BTA with India. This is because India may not allow any cheaper aqua products to be exported by the U.S. into the country to protect millions of poor livelihoods associated with this aquaculture industry. At present, effective tariffs on Indian shrimps are around 58%, which includes 2.5% anti-dumping and 5.5% countervailing duties. Presently, India imposes ~35% tariffs on U.S. aqua products.

India’s aquaculture industry (fish & associated products-inland/fresh waters & marine/coastal sea waters and aqua feeds) benefits immensely from solid support (fiscal stimulus/subsidies) from the government under various targeted schemes. These are led by Pradhan Mantri Matsya Sampada Yojana (PMMSY) and its sub-scheme, Pradhan Mantri Matsya Kisan Samridhi Sah-Yojana (PM-MKSSY), which allocates substantial funds for infrastructure, insurance, and value addition until FY27. Various projections indicate India’s aqua exports may grow by around 11% CAGR to almost $21 billion by 2032. But at present, there are also various challenges like higher U.S. tariffs and stiff EU regulations, apart from regular issues of disease outbreaks, quality control, sudden floods, and intensifying global competition.

India is now the largest aqua exporter to the U.S., having almost 40% of market share, flowed by Ecuador (35%), Indonesia (20%), Vietnam and Thailand. Without considering Russian oil tariffs of 25%, the effective U.S. tariffs on India’s aqua products were 33% vs Ecuador (~16%); Indonesia (~29%); Vietnam (~61%); Thailand/Bangladesh (~27,5%); and China(up to ~55%). Like any other country/political parties, although the aquaculture industry contributes minimally to the overall export share, fishing activities remain rural savvy, involving a significant number of poor families, it’s politically and also policy sensitive for both India and the U.S.. Thus, tariffs are on the higher side also.

Indian governments, Federal and state, do provide substantial fiscal stimulus for the labor-heavy aquaculture sector. The PMMSY targets 22 MT of seafood production by FY26, supported by investments in brood stock centres, reduced tariffs on feeds, and ensuring NABARD financing for farming and processing. The newer PM-MKSSY, with Rs 6,000 crore outlay, focuses on formalising micro-enterprises, promoting aquaculture insurance, and enhancing traceability.

Key Growth Drivers for 2026

• Export Expansion: The EU recently approved 102 new Indian fishery establishments, bringing the total to 604, specifically favoring shrimp and cephalopod exports (antibiotic-free).
• Deep-Sea Initiative: A major focus on the Andaman & Nicobar and Lakshadweep islands aims to tap into an estimated 2.5 lakh tonnes of marine resources, including high-value tuna.
• Incentive Schemes: Major players like Avanti Feeds are eligible for up to 10% incentives on incremental sales of value-added products through FY27.
• Credit Accessibility: The Kisan Credit Card (KCC) lending limit for fishers and stakeholders has been raised from ₹3 lakh to ₹5 lakh, boosting small-scale production.

Overview of India’s top aquaculture stocks for 2026

India’s top Aquaculture Stocks to watch for 2026-based on market caps, profitability, and recent performance data. India’s listed aquaculture space remains niche & diverse- offers exposure to feed, processing, and exports. Leading players have shown resilience, with stocks rallying on the recent EU approvals and value-addition trends.

Avanti Feeds Ltd: The undisputed market leader and India’s largest producer of shrimp and fish feed. Avanti benefits from strong brand value and economies of scale. It is actively diversifying into processed and value-added shrimp products, supported by attractive government incentives under schemes extending through FY27. Consistent profitability, fair PE (19), low PEG, and robust distribution network make Avanti a top watch for 2026.

Apex Frozen Foods Ltd: India’s leading integrated shrimp processor and exporter with end-to-end operations from farming to ready-to-eat (processed) products. Its 2nd processing facility recently secured EU approval, significantly enhancing export potential for value-added and ready-to-eat shrimp segments. With growing diversification away from the U.S. market and a strong order book, Apex may be another top watch despite subdued 2025 amid U.S. tariffs,

Kings Infra Ventures Ltd: A high-growth small-cap player emphasising sustainable aquaculture and technology integration through its proprietary BlueTechOS platform. It’s aggressively expanding farming operations into Andhra Pradesh (AP) while focusing on eco-friendly practices and traceability. With its expertise in sustainable and tech-enabled aquaculture, Kings Infra may be another key watch for 2026.

Coastal Corporation Ltd: Another prominent integrated shrimp processor & exporter- supplying premium products to key markets including the U.S., Europe, and Japan. Coastal is also a big beneficiary of the government’s initiatives- promoting deep-sea fishing and coastal/island development. The diversified & premium shrimp products business model is also helping the company despite the U.S. tariffs challenges.

Zeal Aqua Ltd: Specialises in antibiotic-free, sustainable shrimp farming and is a leading EU exporter of premium Black Tiger shrimp. Strong emphasis on ethical and eco-friendly practices aligns with growing global demand for responsibly sourced seafood. With improving export realisations and operational efficiency, Zeal Aqua may shine in the coming days.

Conclusions

India’s aquaculture industry may remain a bright spot for the country’s export sector in 2026 and beyond despite the threat of lingering U.S. tariffs. The aqua export diversification will be led by growing diversification into China, E.U., Japan, and Russia amid rising value-added and ready-to-eat product demand. Also, domestic demand is resilient and growing amid a better standard of living and awareness about higher protein consumption. Despite various challenges-like diseases, global competition & stringent regulations, the sector is expected to grow by around 6% CAGR (at least) for the next five years. Looking ahead, the sector may benefit from traceability compliance, new market approvals, and a focus on premium antibiotic-free segments, positioning resilient companies for sustained earnings expansion.