India's Blue Economy: Opportunities and Challenges
India's extensive marine frontier spans over 11,000 kilometres of coastline and includes 2 million square kilometres of exclusive economic zones (EEZs). This vast area offers significant potential but also poses substantial challenges.
Current Marine Potential and Shortcomings
- India's marine exports are worth approximately $8 billion, predominantly sourced from land-based aquaculture rather than open-sea fishing.
- The EEZs hold an estimated 7.16 million tonnes of fish, yet this potential remains largely untapped due to outdated fleets and regulatory frameworks.
Regulatory and Fleet Challenges
- Outdated legal frameworks such as the Merchant Shipping Act (1958) and the Marine Fishing Regulation Acts (MFRAs) of coastal regions focus only on areas within 12 nautical miles.
- Lack of a specific "Vessels Act" for deep-sea operations results in challenges like illegal, unreported, and unregulated (IUU) fishing.
NITI Aayog's Proposed Strategy
The NITI Aayog has outlined a ₹8,330 crore three-phase plan for harnessing deep-sea resources:
- Phase I (2025-28): Establish regulations, map resources, and develop 10-15 minor deep-sea landing centres.
- Phase II (2029-32): Introduce modern, automated vessels through cooperative ownership models.
- Phase III (post-2033): Consolidate gains, promote value-added exports, and ensure sustainability.
Economic Context and Challenges
- India faces economic challenges, such as high American tariffs affecting shrimp exporters in states like Andhra Pradesh, Gujarat, and Odisha.
- Over-reliance on the United States, which accounts for nearly 40% of seafood exports, poses a structural risk.
Global Trade and Governance
- The WTO Agreement on Fisheries Subsidies aims to curb harmful subsidies but has yet to be ratified by India due to concerns over impacts on small fishermen.
- Governance of shared resources remains a challenge, with overfished coastal waters illustrating the need for a decentralized governance model.
- India's cooperative fisheries model and digital platforms for vessel tracking can aid in establishing a polycentric governance structure.
