The objective of the present study is to examine the environmental impacts of trade-related structural adjustment programs (SAP) policies, particularly in the shrimp culture industry. It seeks to: (a) analyse the trend and struc- ture of the export-oriented shrimp culture industry in Bangladesh against the backdrop of trade policy reform in the country, (b) undertake a simple cost-benefit analysis to assess the environmen- tal impact of shrimp cultivation, and (c) set forth a policy package for sustainable shrimp culture, integrating environmental concerns and trade expansion objectives. The research methods deployed include literature review; discussion of policy evolution, consequences and intervening factors; interpretation of empirical evidence based on statistical techniques and integration of site/ industry specific information. Thus, the study is largely based on secondary data, selectively sup- plemented by primary evidence.