Iran–Israel war could shut Bandar Abbas port, push up air freight rates: Exporters tell govt
The Indian Express had earlier reported that escalating tensions between Iran and Israel have further driven up marine cargo insurance premiums, amid growing war-related risks and the potential threat to global shipping and trade routes.
Marine cargo insurance premiums have now risen by 15 per cent to 30 per cent, with insurers charging an additional 0.15 per cent of the cargo’s value, insurance sources said. (File Photo) Indian exporters on Friday urged the government to plan alternate shipping routes to West Asia, warning that the escalating Iran–Israel war could lead to the closure of Iran’s largest port, Bandar Abbas, and drive up air freight charges as several West Asian countries are closing their airspace, a person aware of the development said.
“There are concerns that the Bandar Abbas port could be closed, so alternate routes—particularly Chabahar Port—should be considered. There is also worry over a surge in air freight, along with ocean freight, due to airspace closures in several West Asian countries such as Jordan and Iran. Pakistani airspace is already closed,” exporters told the government at a stock taking meeting on Friday at the Commerce and Industry Ministry.
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