Overview
- Vessel movement through the Strait of Hormuz has slumped, with analyses citing a 70%-plus drop in tanker traffic and major carriers pausing Gulf-bound bookings.
- Indian exporters report they can load older orders but are struggling to secure ships for new consignments as war-risk premiums drive up freight and insurance.
- Trade was halted for roughly 18 days, leaving basmati stocks worth about ₹4,500 crore stranded, according to exporter accounts from Punjab and Haryana.
- Companies are evaluating alternative payment and trade channels with Iran, including yuan transactions, barter arrangements, cryptocurrencies, and other non-dollar mechanisms, drawing on past rupee–rial experience.
- Crisil projects FY26 basmati exports could still edge up by over 2% despite disruptions, though a month of severe logistical hurdles could trim volumes by 0.35–0.37 million tonnes, with higher costs likely passed to buyers.