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Shares of shrimp and textile exporters slumped up to 12% on Thursday after US President Donald Trump’s steep 50% tariff came into effect
Shares of shrimp and textile exporters slumped up to 12% on Thursday
Shares of shrimp and textile exporters slumped up to 12% on Thursday after U.S. President Donald Trump’s steep 50% tariff on Indian imports came into effect, eroding competitiveness and sparking a broad selloff across export-heavy counters.
Avanti Feeds slipped 4% to Rs 614.05, Apex Frozen Foods plunged 11.6% to Rs 202.90, and Waterbase lost 3.8% to Rs 47. Textile names also tumbled — Gokaldas Exports shed 2.4%, Pearl Global fell 5.3%, Kitex Garments, which derives 70% of revenue from the U.S., dropped 5%, while KPR Mill slid 2.5%. Raymond Lifestyle, Welspun Living, and Trident registered smaller declines of 1–3%.
The shock came after Trump’s additional 25% levy kicked in on August 27, effectively doubling duties on Indian goods to as high as 50%. With markets shut for Ganesh Chaturthi on Wednesday, the full impact was reflected in Thursday’s trade. The rate far exceeds those on Asian peers — Bangladesh and Vietnam face just 20% — undercutting India’s edge in seafood and apparel exports.
Shrimp exporters are particularly vulnerable. The U.S. was India’s top seafood buyer in FY25, importing $2.7 billion worth, of which frozen shrimp made up 92.5%, according to the Marine Products Export Development Authority. Avanti Feeds derived 77% of its quarterly revenue from North America, while Apex Frozen earned 53% from the region.
Geojit Investments’ chief strategist Dr. V.K. Vijayakumar said the levies would weigh on equities in the near term but may not trigger panic. “The market is unlikely to see this as permanent. With U.S. officials signalling room for resolution, investors may treat it as a temporary setback,” he noted.
He added that stretched valuations and weak earnings growth pose a bigger risk than tariffs, advising investors to rotate from overheated small-caps to safer, domestic consumption-driven large-caps.
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Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More
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