New Delhi, Sept 4 (UNI) The fisheries sector has received a major push under the latest GST reforms, in line with Prime Minister Narendra Modi’s vision of making GST a truly “Good and Simple Tax” that supports every part of the economy.
Under the revised structure, GST on fish oils, fish extracts, and prepared or preserved fish and shrimp products has been reduced from 12 percent to 5 percent, making value-added seafood more affordable for domestic consumers and enhancing the competitiveness of India’s seafood exports .
GST has been reduced to 5 percent from the earlier 12- 18 percent on Diesel engines, pumps, aerators, and sprinklers, essential for aquaculture operations and hatchery, significantly lowering operational costs for fish farmers, Critical chemicals such as ammonia and micronutrients used in pond preparation and water quality management will also be taxed at 5 percent, down from the earlier 12 to 18 percent, cutting costs of feed, pond conditioning, and farm-level practices.
Reduced GST on preserved fish, shrimp, and molluscs will strengthen India’s seafood exports globally while promoting greater domestic consumption of safe and hygienically processed seafood. The GST rate on fishing rods, tackle, landing nets, butterfly nets, and gear has been reduced from 12 percent to 5 percent, benefiting both recreational/sport fishing as well as small-scale aquaculture and capture fisheries farmers. This will make essential gear more affordable, lowering input costs and supporting livelihoods in the sector.
The decision further provides relief to processing units, with GST on job work services in food and agro-processing, including seafood, cut from 12 percent to 5 percent. Composting machines, vital for producing organic manure and ensuring eco-friendly pond management, will now be taxed at 5 percent, encouraging sustainable aquaculture practices.
India’s fisheries and aquaculture sector has emerged as one of the fastest-growing in the world, contributing significantly to food and nutritional security, farmer incomes, rural livelihoods, and exports. The sector today supports the livelihood of over 3 crore people and has positioned India as the second-largest fish producer globally with a production of nearly 195 lakh tonnes (2024-25). India is also the largest shrimp exporter in the world, with seafood exports crossing Rs. 60,000 crores in 2023-24, thereby earning valuable foreign exchange and strengthening the nation’s Blue Economy.
These reforms are expected to directly benefit fish farmers, aquaculturists, small-scale fishers, women’s self-help groups, and cooperatives, easing their financial burden and improving rural livelihoods. These decisions mark a significant step towards making India’s fisheries sector more productive, competitive, and sustainable, and are fully aligned with the Government’s vision of a robust Blue Economy contributing to Viksit Bharat, an official spokesman said here today.
