From Price Pressure to Partnership: Why it‘s time for retailers to rethink how shrimp is bought

What supermarket shrimp isn’t telling us

Shrimp is a staple on supermarket shelves across the UK, US and EU — often marketed as responsibly sourced, farmed and certified. Yet growing evidence shows that the supply chains delivering shrimp to consumers are marked by exploitation, forced labour, and unsustainable pressure on producers.

The recently released report, Human Rights for Dinner , presents a sobering look at how the global shrimp trade relies on labour conditions that fall far short of the human rights standards many retailers have committed to uphold. Crucially, the report argues that the problem is not just bad actors, it is rooted in the entire system of how shrimp is bought and sold. It highlights how current purchasing practices are shaping these risks and how the lack of traceability in supply chains often masks serious issues, including forced labour and exploitative working conditions.

How the shrimp business model creates risk

According to the report, the global shrimp industry relies heavily on small-scale farms—typically under four hectares—in major producing countries such as India, Vietnam, Thailand, Bangladesh, Indonesia, and Ecuador. These farms typically produce just 1–10 metric tonnes per hectare annually. Meanwhile, export-processing plants handle thousands of metric tonnes each year—requiring shrimp from hundreds of farms to meet demand.

To achieve this, processors turn to middlemen who collect, test, and deliver shrimp to meet plant specifications. While efficient, this introduces opacity. As the report notes, most agents are not required to document the farm of origin, so traceability—especially on labour conditions—often ends before it even begins.

Farmers interviewed said they earn more selling directly to processors, but processors prefer the scale of working through agents, who typically pay farmers less to take their cut. This adds further pressure on farm-level margins, especially as input costs like feed have risen significantly since the pandemic. As a result, many farms are operating on the edge of financial viability.

Processors themselves acknowledge that working conditions on farms and harvest teams are a “black box”— not seen as part of their responsibility.

"The global demand for shrimp is rapidly increasing, yet initiatives to ensure human rights compliance in the sector remain scarce. Urgent action is needed to scale up efforts to detect violations and safeguard shrimp workers from exploitation and abuse." 

Kristjan Bragason, General Secretary at IUF

Retail prices up, farm earnings down

Shrimp is often sold in the UK, US and EU as a premium, responsibly sourced product. However, Human Rights for Dinner reveals a stark contrast behind this image. 

The report’s research across India, Indonesia and Vietnam shows that shrimp farmers have experienced a 10-25% drop in income since the pandemic, due to rising costs and low farmgate prices. Labour costs in shrimp production have dropped from 10–15% of total production costs pre-pandemic to just 5–7% today. This sharp decline has forced essential work to be done within a tighter budget — or not paid at all — contributing to significant labour exploitation, worsening conditions for workers and increased risks of forced labour.

While supermarkets achieve relatively higher profit margins – reported up to 43% in the report – shrimp producers face tightening margins and increasing costs. Interviews with over 500 workers and producers across Asia reveal worsening labour conditions, including unpaid work and reduced wages. The report finds that purchasing practices demanding steep discounts and costly certifications contribute to these pressures, creating instability and hardship throughout the supply chain.

"It is shockingly common to find forced labour, abusive working conditions, and environmental destruction in India's shrimp industry. Indian workers and their communities are victims in the race to cut costs and profit.” 

Allie Brudney, Senior Staff Attorney at Corporate Accountability Lab.

The Root Cause: Irresponsible purchasing practices

At the core is how shrimp is bought. The report shows that retailers often require suppliers to provide the lowest-priced shrimp that meets size and quality specifications. This purchasing model pressures suppliers to cut corners – on wages, contracts and safety measures –to remain competitive and survive. 

The report highlights that labour exploitation is closely linked to the current structure of the supply chain, shaped significantly by purchasing practices and pricing pressures. 

A Practical Way Forward: Responsible purchasing practices 

Change is possible. Responsible Purchasing Practices (RPP) can help retailers shift from price pressure to genuine partnership.

ETI is leading a multi-year project that unites retailers, brands, farmers, exporters, processors, civil society, and labour experts to research, test, and promote purchasing practices that reduce harm and meet rising expectations from regulators, investors, and consumers.

At its core is the Common Framework for Responsible Purchasing Practices in Food—a practical guide aligning buying practices with international human rights due diligence and improving labour conditions across food supply chains.

The project supports members to:

• Build internal understanding and engage cross-functional teams.
• Pilot new purchasing approaches that reduce risks and improve worker conditions.
• Provide credible guidance to drive wider industry adoption and inform policy reform.

RPP is practical, collaborative, and focused on delivering real change. It requires commitment from both human rights and commercial teams but offers a clear path to turn commitments into impact.

"Recent research has shown the prevalence of forced labour, low incomes and dangerous and abusive conditions in the shrimp sector. Oxfam's work in this sector has shown that moving towards responsible purchasing practices are a key intervention that retailers can implement to address these risks. This isn’t about new commitments, but rather ensuring current human right commitments are embedded in procurement processes."

Ashley Aaron, Senior Private Sector Advisor at Oxfam America

Time to lead, not lag

Food retailers have long committed to respecting human rights in their supply chains. Joining the RPP project is a chance to turn those commitments into action—ensuring shrimp on shelves is not just sustainable in name, but ethical in practice.

We invite UK and European supermarkets to be part of the solution. Together, we can reshape the shrimp supply chain by listening to producers and workers, responding to data, and creating realistic paths toward truly responsible shrimp sourcing.

The way retailers buy shrimp shapes how it is produced. Let’s make sure it is done right.

Interested in joining or learning more? Contact Melissa Karadana at Melissa.karadana@eti.org.uk