Avanti Feeds has been on an impressive streak, rising for four consecutive trading sessions. On April 16, the company’s shares surged by 3%, reaching an intraday peak of ₹876. This marks a remarkable 46% increase from its recent low of ₹601 recorded on April 7, all achieved within just six trading days. The stock’s performance has also contributed to a 28% year-to-date gain, following a staggering 62.3% increase in FY24 and a 9% rise in FY23.

What’s Boosting Avanti Feeds’ Stock Price?

The recent upswing in Avanti Feeds’ stock can be attributed to a significant decision by the U.S. president to temporarily suspend a planned 26% reciprocal tariff on Indian exports for 90 days. This pause offers much-needed relief to India’s aquaculture sector, which heavily relies on exports.

• India’s Shrimp Exports: In 2024, India exported approximately 240,871 metric tons of shrimp to the U.S., reflecting a 2% increase from 234,209 metric tons in 2023. The total export value reached $2.7 billion during the 2023–24 fiscal year.
• Market Dynamics: The U.S. remains the leading market for Indian shrimp, accounting for 43% of total exports, while China and Vietnam follow with 21% and 7%, respectively, as reported by S&P Global.

Following the announcement regarding the tariff pause, Indian shrimp exporters are gearing up to send 40,000 metric tons of shrimp to the U.S. within this window, fulfilling existing orders without facing the burden of additional costs.

Ongoing Tariff Landscape

While the temporary suspension is a boon, a 10% blanket tariff remains applicable to all countries except China, which faces a hefty 145% duty. Currently, Indian shrimp exports to the U.S. incur an effective customs duty of 17.7%, which includes a 5.7% countervailing duty and a 1.8% anti-dumping duty.

Industry insiders highlight that many Indian exporters operate under delivery duty-paid arrangements, meaning the proposed increased tariffs would have significantly raised costs on previously contracted shipments.

The Importance of Aquaculture in India

Aquaculture plays a crucial role in India’s economy, contributing to food security and providing substantial employment opportunities in coastal areas, while also generating essential foreign exchange. The Indian government has recognized the transformation of shrimp farming as part of the “Blue Revolution” since the late 1980s and early 1990s.

In the 2025–26 Union Budget, Finance Minister Nirmala Sitharaman outlined a roadmap for sustainable growth in the fisheries sector, including:

• Reduction of customs duties on essential inputs like frozen fish paste and fish hydrolysate.
• Focus on fisheries development in Exclusive Economic Zones (EEZs) and islands like the Andaman & Nicobar and Lakshadweep.
• Increasing the loan limit under the interest subvention scheme from ₹3 lakh to ₹5 lakh to enhance credit access for farmers and fishers.

Future Prospects for Avanti Feeds

Looking ahead, the question remains: will Avanti Feeds continue its upward momentum? Anshul Jain, Head of Research at Lakshmishree Investment and Securities, suggests that the stock has made a notable recovery, forming a bullish hammer pattern on the monthly chart, which indicates potential reversal. He states, "If the stock closes around the ₹860– ₹880 range by the end of April, it could confirm bullish sentiment and signal that the weaker investors are exiting. A strong monthly close could pave the way for further gains, with a near-term target set at ₹1050."

As the market watches closely, it appears that the bulls have the upper hand, provided the momentum continues into the end of the month.