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Congress·In Committee·6 months ago

Congress Proposes Phased-In Tariffs on Shrimp From India and New Origin Labels for Cooked Shrimp

Also known as: India Shrimp Tariff Act

Legislative Progress

✓ Filed
Review
Senate
House
President

Impacts

Mixed Impacts(2)
Federal Employee
Neutral
Chronic Illness
Neutral
Positive Impacts(2)
Small Business Owner
Helps
Farmer Rancher
Helps

Key Points

  • Congress would phase in new import tariffs on shrimp from India: 10% in 2026, 20% in 2027, and 40% starting in 2028.
  • The bill also adds an extra $0.10 per kilogram duty on certain shrimp imports, on top of the phased-in tariffs and any other duties already owed.
  • It would change country-of-origin labeling so cooked shrimp and crawfish sold in the U.S. must be labeled with where they came from, not treated as a “processed” exemption.
  • The bill tells the President to use the money raised by the extra $0.10 per kilogram duty to fund more inspections of imported shrimp and catfish for safety issues.
  • For everyday shoppers, this could mean higher prices for shrimp from India and clearer labels at stores and restaurants; for U.S. shrimpers, it aims to reduce cheaper import competition.
TradeConsumer ProtectionAgriculture

Milestones

2 milestones2 actions
Sep 18, 2025Senate

Read twice and referred to the Committee on Finance.

Sep 18, 2025

Introduced in Senate

What Happens Next

Projected impacts based on AI analysis

2026-01-01

Tariff rate on shrimp from India applies at 10% (plus a 25 cents/kg alternative rate listed for a separate tariff column).

Importers pay more at the border starting with 2026 entries, which can flow through to higher shelf and menu prices or a switch to other suppliers.

After enactment, once the President issues the required order and agencies set up collection/inspection processes

Extra duty of $0.10 per kilogram on covered shrimp imports is imposed, and collections are directed toward shrimp and catfish import inspections.

Each kilogram of imported shrimp in the covered categories carries an added charge, and agencies may have more resources to test shipments for safety problems.

2027-01-01

Tariff rate on shrimp from India increases to 20% (plus a 50 cents/kg alternative rate listed for a separate tariff column).

If stores or restaurants were still buying India-sourced shrimp, the added cost jumps again, increasing pressure to raise prices or change sourcing.

2028-01-01

Tariff rate on shrimp from India increases to 40% (plus a $1/kg alternative rate listed for a separate tariff column) and stays at that level in later years unless changed by law.

This is the biggest price-pressure point for India-sourced shrimp; many buyers may fully switch suppliers or shrink shrimp offerings if costs rise too much.

After enactment, once USDA updates labeling rules and retailers update packaging/signage

Country-of-origin labels expand to include cooked shrimp and cooked crawfish, and USDA updates its rules so these items aren’t treated as “processed” for labeling purposes.

More ready-to-eat shrimp and crawfish products should show where they came from, helping shoppers compare and choose based on origin.

Related News

3 articles
The Economic Times·5 months ago

US Senators introduce India Shrimp Tariff Act to protect Louisiana's shrimp and catfish industries against cheap import

Covers introduction of the India Shrimp Tariff Act and its intent to shield Gulf seafood producers from low-priced Indian imports.

C=
American Press·5 months ago

Cassidy, Hyde-Smith push for tariffs on Indian shrimp

Local reporting on the bill’s phased tariff schedule, the extra $0.10/kg duty for inspections, and cooked shrimp/crawfish origin-labeling changes.

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Southern Shrimp Alliance·5 months ago

General Tariffs Can Change, India Shrimp Tariff Act Offers Long-Term Solution

Industry-group coverage summarizing the bill’s phased duties, added per‑kilogram duty for inspections, and cooked shrimp/crawfish COOL expansion.

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Source Information

Document Type

Congressional Bill

Official Title

India Shrimp Tariff Act

Bill NumberS 2868
Congress119th Congress
ChamberSenate
Latest ActionRead twice and referred to the Committee on Finance.

Sponsor

Cosponsors

(1)
R: 1

Analysis generated by AI. While we strive for accuracy, this should not be considered legal or professional advice. Always verify information with official government sources.