Synopsis: Dissertation Project

Submitted By:

Sukrit Munjal

Roll No. 49

MBA(IB) 2009-11
1. Title

Indian Seafood Industry: Exports, competitive analysis and measures to boost exports
through focus on Value Chain.

2. Objective of the project

To develop a framework for Value Chain management for Indian Seafood Industry.

3. Introduction

Trade in fish and fishery products has a real potential to advance socio-economic
development around the globe. Fish trade has expanded tremendously in recent decades
and has almost doubled in the past ten years. Exports flow primarily from developing to
the developed countries, accounting for up to three-quarters of merchandise exports in
some countries. Fisheries provide a source of direct and indirect employment for 200
million people. The vast majority of these people live in the developing world where the
sector is dominated by artisanal and small-scale fishing operations.

The industry also plays a crucial role in advancing food security, supplying much-needed
protein in some of the poorest countries as well as income necessary to purchase food.

India is one of the leading producers and exporters of fisheries in the world and it’s share
has been continuously rising but on the other hand we are facing many difficulties also
and there are a lot of issues like the IUU(Illegal, unreported & unregulated) reporting
standards etc. which need to be taken care of.

This potential, however, has to be placed within the broader context of prevailing
viability constraints that, if not addressed will jeopardise the productivity and survival of
the world’s fisheries and the millions of people that depend on them for their livelihoods.
With three-quarters of fish resources already under threat, this prospect is becoming a
reality in some parts of the globe. Fish trade, where it provides an incentive for increasing
fishing efforts beyond sustainable limits in the absence of an effective management
regime, clearly exacerbates these pressures.

Similarly, fisheries subsidies that have enabled industrial fleets to exploit fishing grounds
around the world have significantly contributed to global fish stock declines.

Trade policy can provide a range of tools to help take advantage of opportunities while
mitigating some of the pressures. Eco-labelling, for instance, could provide necessary
market advantage to compensate for investments in sustainable fisheries. Well-targeted
subsidies could foster development of poor fishing communities provided that they do not
lead to unsustainable fishing efforts.

At the same time, if not designed well, these tools can undermine sustainable
development objectives by encouraging over-exploitation, unnecessarily restricting trade
and jeopardising livelihoods. Market standards and the use of safeguards continue to
prevent the poorest countries in particular from taking advantage of trading
opportunities. Fisheries access agreements, where they do not include adequate catch
limits and enforcement mechanisms, can lead to the long-term decline of fisheries
resources at the expense of local fishermen.

To ensure that fish trade indeed delivers on sustainable development objectives,

policymaking at the multilateral, regional and local levels will need to reflect and balance
the varied priorities and concerns. To date, however, the policy debate has been
characterised by a fragmentation of issues, actors and perspectives. While negotiations
on regulating fisheries subsidies have attracted considerable attention at the WTO, other
areas with a direct bearing on the fisheries sector such as market access, non-tariff
barriers, and measures taken under multilateral environmental agreements remain
neglected and understudied. Policy responsibilities for the various aspects of the
fisheries-trade interface are spread across different ministries and institutions with
limited coordination between them. At the same time, many stakeholders – among them
those with the greatest stake and interest in the debate, including fishermen, traders,
conservationists and fisheries analysts – are frequently not heard and effectively
integrated in policy formulation.
4. Methodology

The methodology for this project may undergo various iterations as the project progresses
since the literature review is dynamic and any additional or better method if obtained will
be suitably applied in the research. As per the title suggests I would be researching on the
risk factors faced by the Indian Seafood/fisheries Industry in exports and design a
framework through which exports can be boosted through focus on the Value Chain.

5. Chapters

The tentative chapter plan of the report would be as follows:

Introduction

Trends in Seafood Trade in India

Export Trends of marine products

RCA and dRCA Trends

Trade partners

Regional Hirschman

Regional Orientation

Competitive Index

Seafood Trade on a global level

Effects of Tariffs, Subsidies and Trade Agreements

Government Initiatives

Value Chain

Problems and Issues

Recommendations

Conclusion
6. Expected Outcome/Conclusion

With this project I am trying to come up with a framework which a Fisheries company
can use to specify, assess and mitigate risks involved in its value chain.

7. Sources

1) http://www.tradeknowledgenetwork.net/pdf/tkn_marine_export_india.pdf
2) http://www.mpeda.com/Overview/exports.htm
3) http://www.mpeda.com/inner_home.asp?pg=publications/exportreview/trends.htm
4) http://indianmarineexports.com/home.htm
6) http://www.fishglobal.org/
7) http://www.fishbase.org/
8) http://www.unctad.org/Templates/Page.asp?intItemID=1584&lang=1
9) http://www.globalfishalliance.com
10) http://www.seafoodchoices.com/home.php
11) http://www.sustainablefish.org/

8. Bibliography

Srivastava DK & C Bhujangarao, 2002. Government Subsidies in India: Issues and

Approach. National Institute for Public Finance and Policy: New Delhi.

Vivekanandan, E 2002. Marine Fisheries and Fish Biodiversity in India, from

http://sdnp.delhi.nic.in/nbsap/themes/naturalaqua/biodiversityhtms.html

WTO, 2002. Press Release, PRESS/TPRB/105, 21 June 2002. India: June 2002.