Whalesbook
Positive Trade Sentiment Boosts Export Shares
On January 22, 2026, shares of Indian companies heavily reliant on exports experienced a notable uplift, driven by US President Donald Trump's remarks signaling a potentially constructive trade agreement between the United States and India. Speaking to Moneycontrol, President Trump conveyed "great respect" for Prime Minister Narendra Modi, describing him as a "fantastic man and a friend," and stated, "We are going to have a good deal.". This positive sentiment provided a welcome reprieve for export-oriented sectors that had previously faced significant headwinds.
Reversal of Tariff Impact
These export-focused companies, particularly those in the shrimp and textile industries, had seen their valuations decline substantially due to steep US tariffs. Historically, tariffs imposed by the Trump administration, sometimes reaching as high as 50 percent on certain Indian imports, had squeezed profit margins and reduced export volumes.. The prospect of a trade deal that could reduce these tariffs to more manageable levels, potentially around 14-16 percent, has injected optimism back into the market.. Companies such as Avanti Feeds and Gokaldas Exports, which derive a significant portion of their revenue from the US market, are poised to benefit from an improved trade environment.
Market Performance and Valuation Metrics
The market's reaction was evident in the trading activity of key players. As of January 21-22, 2026:
- Avanti Feeds Ltd. traded at approximately ₹792.05, with a P/E ratio around 17.3x and a market capitalization of roughly ₹10,707 crore.
- Apex Frozen Foods exhibited a P/E ratio of approximately 37.54x and a market capitalization of about ₹852 crore.
- Coastal Corporation was trading around ₹41.21, with a P/E ratio of approximately 32.4x and a market capitalization of about ₹2.76 crore.
- Gokaldas Exports Ltd. saw its shares trading near ₹563.95, holding a P/E ratio of approximately 28.15x and a market capitalization of around ₹4,429 crore.
- Raymond Ltd. (representing its lifestyle business) had a P/E ratio of approximately 30.06x and a market capitalization of roughly ₹2,570.74 crore.
- Pearl Global Industries traded at approximately ₹1,440.00, with a P/E ratio of around 26.68x and a market capitalization of approximately ₹6,670 crore.
Sectoral Outlook
The US remains a critical market for India's seafood and textile exports, with these sectors employing millions.. Past tariff increases led to significant challenges, including reduced export volumes and price competitiveness issues, particularly for shrimp exporters facing competition from countries with lower duties.. A successful trade agreement could lead to increased export volumes and improved profitability, potentially revitalizing these key Indian industries.. Investors will be closely monitoring further developments and the specifics of any finalized trade pact.