Overview
- French carrier CMA CGM has begun charging $2,000–$4,000 per container on routes through the region, with industry groups cautioning that additional insurance surcharges could follow.
- Exports to the Middle East are on hold, port closures are creating congestion and container shortages, and more than 2,000 food containers including rice and onions are stranded at Indian ports.
- Fertiliser producers warn of looming shortages of sulphur and sulphuric acid used in DAP and SSP, with 76% of India’s sulphur sourced from Qatar, the UAE and Oman ahead of the kharif season.
- India imports about 16 million tonnes of edible oil each year, with sunflower oil near 20% sourced mainly from Russia, Ukraine and Argentina, and industry says detours away from the Red Sea could delay deliveries even though immediate impact remains limited.
- Analysts report Brent crude near $73 a barrel and note about half of India’s crude transits the Strait of Hormuz, raising risks of higher transport costs, inflation pressures and rupee strain as reliance on Gulf supplies increases.