Japan should accelerate imports from India that generate India’s domestic source of capital. India needs to press Japan in this respect.
TOKYO: Japan, an island nation and the world’s largest seafood consumer per capita, is a world leader in aquaculture. India is a rising power in seafood aquaculture, especially inland pond aquaculture. In total size India is second only to China in farmed fish, such as carp. Across the food supply chain from feed availability to processing all are in place in India, and India grows the grains and produces other nutrients essential for feed.
India and Japan have no political differences, and indeed India was among the leading countries that helped to build Japan’s post-War international presence, and today both are leading members of the Quad and G-20.
As non-vegetarians transition to greater seafood intensive protein sources, considered healthier because of components such as Omega-3 fatty acids that lower triglycerides, therefore considered better for heart health, worldwide, instituting best practices in aquaculture is essential to safeguard water bodies, land, ensure antibiotics-free feed and boost foreign currency earnings. Given the rising demand, closer cooperation between India and Japan on aquaculture can have multifarious benefits such as cost-effective production, lowered mortality, and enhanced water and energy management. Over time, just as in the car industry, the future of combining Japanese expertise and experience in aquaculture with the massive Indian market
Enabling exponential production and widespread distribution of quality seafood with minimal to no impact on the environment to meet rising demand is a dual Indian and Japanese objective. Aquaculture is not easy and requires years of learned expertise and experience.
To facilitate that enhanced level of cooperation, new agreements are essential—such as those done by Japan and the US, and Japan and Thailand, as examples. India has with Japan a “Special Strategic and Global Partnership on Working Together for Peace and Prosperity of the Indo-Pacific Region and the World” but nevertheless lack those agreements to enhance and expand the cooperation between the two countries, on specific fields like aquaculture.
In particular, Japan and partner countries like the US and Thailand have agreement on 1) Act on the Protection of Fishery Resources, 2) Food Sanitation Act, 3) Quarantine Act, and 4) Japanese Agricultural Standards (JAS) Law to regulate aquaculture cooperation on crustaceans such as shrimp.
It is certain that some of these Acts have not been agreed to between India and Japan, and that is holding up certain key possibilities, especially in aquaculture. India needs to negotiate acceptable agreements with Japan in consonance with the existing Japanese laws, but not a word for word acceptance of the Japanese laws that are in fact not even applicable to a large economy like India that has a history of credible economic engagement with major economies.
MASSIVE TRADE IMBALANCE FAVOURING JAPAN
There is a massive trade imbalance favouring Japan vis-à-vis India. In 2023-24, India’s exports to Japan were an estimated $5.15 billion and imports were approximately $17.7 billion, thus creating the $12.55 billion trade deficit. US President Donald Trump has made trade deficits the centrepiece of his outreach to countries, and expansion of total trade is in everyone’s interests. Japan should accelerate imports from India that generate India’s domestic source of capital. India needs to press Japan in this respect, undoubtedly. The old style of keeping quiet when there are such imbalances should have gone away but apparently has not. Investment is also a factor, and encouraging Japanese investment into India, and indeed Indian investment into Japan are both essential for greater and more long-lasting cooperation.
CONCLUSION
Likely it will require the Prime Ministers’ Offices (PMOs) of both countries to take an active interest, as well as the Indian and Japanese diaspora that seeks to build cooperation on promising sectors. In a nutshell, needed are harmonization, coordination, building understanding and mutual respect. With the requisite regulatory and legal frameworks in place, two-way investment in production, marketing, distribution and R&D will thrive both for bilateral India-Japan, as well as markets in the Indo-Pacific and beyond.
* Dr Sunil Chacko holds degrees in medicine (Kerala), public health (Harvard) and an MBA (Columbia). He was Assistant Director of Harvard University’s Intl. Commission on Health Research, served in the Executive Office of the World Bank Group, and has been an Adjunct Professor and faculty member in the US, Canada, Japan and India.