India’s agricultural exports to the Gulf region, including onions, bananas and grapes, have slowed significantly due to the ongoing conflict in West Asia. Freight costs for vegetable containers have skyrocketed six-fold to $900, with additional road transport charges of $100 further straining margins. While some shipments have resumed via smaller ports like Khorfakkan and Fujairah to bypass the congested Jebel Ali, infrastructure constraints and security concerns in Saudi Arabia and Qatar have hampered onward movement. The crisis has also left thousands of basmati rice containers stranded, with shipping lines demanding detention charges of up to $10,000 per load. According to leading exporters, the current logistics costs make trade economically unviable. With West Asia accounting for over 21% of India’s food exports, the prolonged instability poses a severe inflationary risk to the agri economy, according to a report.
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