India has officially become a Party to the World Trade Organization (WTO) Agreement on Fisheries Subsidies (AFS) after depositing its Instrument of Acceptance on 20 July 2026 in Geneva. The move marks an important step in global efforts to promote sustainable fishing, protect marine resources, and regulate harmful fishing subsidies.
The agreement, which entered into force on 15 September 2025, is the first multilateral WTO agreement focused specifically on environmental sustainability. While it introduces stricter rules on subsidies linked to illegal and unsustainable marine fishing, it does not apply to aquaculture or inland fisheries—making it particularly relevant for countries like India, where shrimp farming and inland aquaculture play a major role in seafood production and exports.
India Officially Becomes a Party to the Agreement
The Government of India deposited its Instrument of Acceptance with the WTO on 20 July 2026. The document was formally handed over by Commerce Secretary Rajesh Agrawal to WTO Director-General Ngozi Okonjo-Iweala during his official visit to Geneva.
With this step, India joins the growing list of WTO member countries that have accepted the agreement after it became legally effective following ratification by more than two-thirds of the WTO’s 166 members.
The Commerce Ministry stated that the agreement aligns with India’s commitment to promoting sustainable fisheries while safeguarding the interests of traditional and small-scale fishing communities.
What Is the WTO Agreement on Fisheries Subsidies?
The WTO Agreement on Fisheries Subsidies was adopted by consensus during the 12th WTO Ministerial Conference (MC12) held in Geneva in June 2022.
Its primary objective is to eliminate harmful government subsidies that contribute to:
- Illegal, Unreported and Unregulated (IUU) fishing
- Fishing of overfished marine stocks
- Unsustainable exploitation of marine fishery resources
By discouraging subsidies that encourage excessive fishing, the agreement aims to improve the long-term health of global marine ecosystems and ensure fish stocks remain available for future generations.
The agreement is widely regarded as a landmark achievement because it is the first WTO agreement with an explicit environmental sustainability objective.
What Activities Are Covered?
The agreement applies only to marine wild-capture fisheries and fishing-related activities conducted at sea.
This means the rules primarily affect subsidies associated with commercial marine fishing operations.
Importantly, the agreement does not cover:
- Aquaculture
- Shrimp farming
- Inland fisheries
- Freshwater fish farming
This distinction is significant for India, where aquaculture has become one of the fastest-growing food production sectors.
Why This Matters for India
India’s fisheries sector supports millions of livelihoods and plays a vital role in food security, employment, and exports.
Unlike several developed fishing nations that operate large distant-water fishing fleets, India’s marine fisheries are largely dominated by traditional and small-scale fishers using relatively smaller vessels.
According to the Commerce Ministry, the agreement creates a more balanced global fisheries framework by disciplining subsidies that have historically benefited large industrial fleets engaged in distant-water fishing.
For India, this helps create a fairer international environment where smaller fishing nations are not placed at a disadvantage.
Relief for India’s Shrimp Export Industry
One of the biggest positives for India’s seafood sector is that aquaculture remains outside the scope of the agreement.
India is the world’s largest exporter of farmed shrimp, and the majority of its seafood export earnings come from aquaculture rather than wild marine capture fisheries.
Since farmed shrimp production is excluded from the WTO agreement, the country’s shrimp farming industry will continue operating under existing domestic policies without being affected by the subsidy disciplines introduced under the pact.
This ensures continued competitiveness for India’s shrimp exporters in international markets.
For the aquaculture industry, this provides policy certainty while allowing the country to continue expanding sustainable shrimp farming and value-added seafood exports.
Protection for Small-Scale Fishers
The Indian government has emphasised that the agreement supports the livelihoods of traditional and artisanal fishing communities.
The WTO rules specifically target subsidies linked to illegal and unsustainable fishing practices rather than legitimate small-scale fishing activities.
India has consistently argued during WTO negotiations that developing countries require adequate policy flexibility to support vulnerable fishing communities.
The final agreement includes provisions recognising the needs of developing and least-developed countries while encouraging responsible fisheries management.
According to the Commerce Ministry, India’s existing fisheries management framework is already broadly aligned with the objectives of the agreement and continues to protect the interests of small-scale fishers.
India’s Long-Standing Position at the WTO
Throughout the negotiations, India maintained that countries with large industrial fishing fleets and historically high subsidy levels should bear greater responsibility for reducing harmful subsidies.
India also advocated for a longer transition period for developing nations and stronger disciplines on distant-water industrial fishing fleets that operate far from their home waters.
The country’s acceptance of the agreement reflects its support for sustainable fisheries while continuing to seek balanced outcomes in future WTO negotiations on fisheries-related issues.
Global Push for Sustainable Fisheries
Overfishing remains one of the biggest threats to marine biodiversity worldwide.
According to international estimates, billions of dollars in fisheries subsidies have contributed to excessive fishing capacity and depletion of marine fish stocks.
By restricting subsidies that encourage illegal fishing and overexploitation, WTO members hope to improve conservation of marine ecosystems while ensuring long-term food security.
The agreement also supports global efforts to achieve the United Nations Sustainable Development Goal (SDG) 14.6, which calls for eliminating harmful fisheries subsidies.
What Lies Ahead?
India’s formal acceptance of the WTO Fisheries Subsidies Agreement represents an important milestone in balancing environmental responsibility with economic development.
For marine fisheries, the agreement reinforces the importance of sustainable resource management and responsible fishing practices.
For the aquaculture sector, especially shrimp farming, the exclusion of aquaculture from the agreement means business continuity and continued export competitiveness.
As India continues to expand both its marine fisheries and aquaculture industries, the focus will increasingly be on achieving sustainable growth while protecting livelihoods, marine biodiversity, and global market access.