Context

• India officially became a Party to the World Trade Organization (WTO) Agreement on Fisheries Subsidies after depositing its Instrument of Acceptance on 20 July 2026, becoming the 123rd WTO Member to ratify the Agreement.

What is the WTO Fisheries Subsidies Agreement?

• The WTO Agreement on Fisheries Subsidies is the first multilateral trade agreement specifically designed to address environmental sustainability through international trade disciplines. It was adopted during the 12th WTO Ministerial Conference (MC12) held in Geneva, Switzerland, in June 2022 after nearly two decades of negotiations.
• The Agreement also contributes directly to achieving Sustainable Development Goal (SDG) 14.6, which calls for the prohibition of harmful fisheries subsidies that contribute to overcapacity, overfishing, and Illegal, Unreported and Unregulated (IUU) fishing.

Key Provisions of the Agreement

• The Agreement introduces comprehensive disciplines on fisheries subsidies with the objective of promoting sustainable utilization of marine resources. It prohibits governments from granting subsidies to vessels or operators engaged in Illegal, Unreported and Unregulated (IUU) Fishing, thereby strengthening global fisheries governance and reducing unlawful exploitation of marine resources.
• Another major provision prohibits subsidies supporting fishing activities involving overfished stocks, unless such financial assistance forms part of scientifically validated stock recovery programmes. The Agreement also restricts subsidies that contribute to overcapacity and overfishing, especially where excessive government support leads to unsustainable expansion of fishing fleets.
• Furthermore, the Agreement requires WTO Members to improve transparency by notifying fisheries-related subsidy programmes and relevant fisheries management information to the WTO, thereby facilitating international monitoring and compliance.

India's Position during Phase-II Negotiations

• Although India has now ratified the Agreement, it has consistently maintained that the present global fisheries subsidy regime disproportionately favours developed countries that have historically provided massive financial assistance to large industrial fishing fleets.
• India has therefore demanded a 25-year transition period for developing countries to ensure that domestic fisheries sectors can gradually adapt to the new subsidy disciplines without adversely affecting livelihoods.
• India has also advocated for stronger restrictions on distant-water industrial fishing fleets, which are predominantly operated by developed economies and account for a significant share of global marine resource exploitation. Simultaneously, India has demanded a permanent carve-out for small-scale, traditional and artisanal fishers, arguing that their fishing practices are largely sustainable and essential for food security, coastal livelihoods, and rural employment.
• India maintains that developmental equity should remain a guiding principle of global fisheries governance and that identical obligations should not be imposed upon countries with vastly different levels of industrialization.

India's Fisheries Context

• India possesses one of the world's largest fisheries sectors and ranks among the leading fish-producing nations. The sector supports the livelihoods of millions of coastal and inland fishing communities while significantly contributing to agricultural exports, nutritional security, and rural employment.
• The Government has repeatedly emphasized that India's fisheries subsidies remain among the lowest globally, averaging approximately US$15 per fisher family annually, which is substantially lower than subsidy levels provided by many developed economies.
• Unlike several industrialized fishing nations, India primarily depends upon small-scale and traditional fishing communities operating with limited capital investment, small mechanized or non-mechanized vessels, and near-shore fishing practices. Consequently, India argues that its subsidy programmes are livelihood-oriented rather than commercially distortive.

Significance of the Agreement

• The WTO Fisheries Subsidies Agreement represents an important convergence between international trade law and environmental governance.
• By discouraging harmful subsidy practices, the Agreement seeks to restore depleted fish stocks, conserve marine biodiversity, and promote long-term sustainability of ocean ecosystems.
• For developing countries like India, however, sustainability objectives must be carefully balanced with developmental priorities. Fisheries constitute a major source of employment, nutrition, and foreign exchange earnings.
• Therefore, India continues to emphasize the principle of Common but Differentiated Responsibilities (CBDR)-like developmental equity, arguing that countries responsible for historical overfishing should bear greater obligations than nations with relatively sustainable fishing practices.
• Successful implementation of the Agreement will require scientific fisheries management, international cooperation, enhanced transparency, technological monitoring of fishing activities, and equitable treatment of developing economies.

Conclusion

• India's accession to the WTO Fisheries Subsidies Agreement demonstrates its commitment to sustainable marine resource management and responsible multilateralism.
• At the same time, India's continued advocacy during Phase-II negotiations reflects its determination to protect the livelihood interests of millions of traditional fishers while ensuring fairness within the global trading system.
• Going forward, achieving an appropriate balance between marine conservation, economic development, and social justice will determine the long-term success of this landmark WTO Agreement.

World Trade Organization (WTO)

India’s Major Initiatives in the Fisheries Sector