Container shortage, freight spike shake maritime economy in India

India's merchandise exports also contracted by nearly 10 per cent in August. Both officials and traders highlighted the challenges in transportation

Weak global cues and a volatile geopolitical scenario have hit Indian merchandise traders, with shipping rates becoming a major impediment for exporters.

Data shows that shipping costs and container prices for Indian ports have seen sustained growth over the past few months.

“There is a global shortage of containers, mainly due to the logistical inefficiencies like port congestion in Southeast Asia and red sea disruption. Consequently, freighters must take a detour and opt for a longer route around the Cape of Good Hope. This detour has increased not only the shipping costs but also delivery time, further