Avanti Feeds

Spoke with two farmers from AP state understand current situation:

Andhra Pradesh shrimp farming was not doing well. Things were really bad during September,October,and November of 2022. Disease impact was high during last season. Even if the crop was good, shrimp prices were low which affected farmers. Even the offtake of shrimp from ponds was delayed by companies. When things were good everything use to happen within a day. During last season farmers have to wait for 2-3 days for the buyer to come take shrimp. Sept-October period farmers barely made any money.

Due to such bad conditions around 20% of farmers have moved to fish farming and some have just stopped further shrimp farming.

Feed cost was also continuously increased by companies. This has been stabilized during the last 2-3 months without further hike. Presently a 25kg bag costs around Rs.2000.

Cost of probiotics, vitamins used in shrimp farming also has increased.(probiotics are supplied by sanizymes, intas, ?avanti. etc…)

AP government is not giving electricity subsidy to farmers which is adding to the farmers burden. Power cost which used to be Rs.1.75 per unit is now at Rs.4 per unit. At present running cost of electricity is around 7k to 8k per acre( at Rs. 4 /unit). In general power cost is less during the first month of shrimp farming as all aerators need not run but increases from second month. Finally subsidy may be given in the next 1-2 months as the Govt has started collecting documents from farmers.

If the initial infrastructure is in place the present running cost per acre is around 5 to 6 lac per acre which used to be 4 to 5 lac 3 years back. This cost included seed, probiotics, power, labor ,etc…)

In general Avanti and CP food is preferred. There are few more players. One farmer mentioned Sandhya feed is doing well.

Currently things have started improving and farmers are happy with the present shrimp price.

Current price;

30 count: ~Rs.475

40 count: ~Rs.370

50 count: ~Rs.350

60 count~Rs.320

70 count~Rs.300

(this is last one week price)

Present season is better as the disease burden is less during summer.

Farmers who have stopped shrimp farming during last season have started again. Those who have shifted to fish farming will take another 7-8 months to come back. Once they start fish farming they have to wait for 8-12 months to get good fish output. Ultimately they will come back to shrimp farming if the current shrimp price is maintained or improves. In general fish farming is not as lucrative as shrimp farming for farmers and they have to do it at least 10-15 acres to get a decent amount. Shrimp farming can be done by small farmers with limited land.

(I am trying to speak with an employee of a company involved in processed shrimp export. Will update if I get any usefull information)

Discl: tracking