Escalating tensions between the U.S., Israel, and Iran are disrupting Indian onion exports and widening instability across global shipping lanes, as the Strait of Hormuz has been closed and major carriers have suspended regional operations.
At Jawaharlal Nehru Port (JNPT) in Mumbai, more than 150 containers loaded with onions from Nashik and other parts of Maharashtra are stranded following a halt in exports. Each container carries 29–30 tonnes, leaving nearly 4,500 tonnes stuck at the port. The consignments were primarily destined for Gulf countries via Dubai, but the Dubai market has been shut amid a war-like situation.
Exporters report growing losses. A leading Mumbai onion exporter said he has eight containers stuck. "These were supposed to reach during Eid time. Now they are saying that operations at Jebel Ali port have partially resumed, but a lot of carriers are not willing to go to Dubai," he said. Containers already loaded may have to be offloaded, with stock held in parking plazas amid uncertainty.
The disruption extends beyond onions. More than 300 containers at JNPT carrying grapes, onions, fruits, vegetables, and frozen food are stranded after clearance was halted on February 28. Govind Singh, a Custom House agent, said, "My 15-20 containers carrying products worth Rs 3-4 crore have been stuck at JNPT since yesterday."
At Mundra Port in Gujarat, around 2,000 containers, mostly rice cargo, are also stranded. Satish Goyal, President of the All India Rice Exporters Association, said, "Our containers are stuck, but at present we do not have the exact number. We are monitoring the situation." Nearly 80% of India's Basmati rice exports go to the Gulf, with about 35% destined for Iran.
The crisis intensified after the Iranian Revolutionary Guard Corps announced a full blockade of the Strait of Hormuz. Iranian naval forces have stated that no ship can pass. The closure traps vessels in the Persian Gulf and cuts off hubs such as Jebel Ali, with no maritime alternative route.
Major carriers have suspended transits. Hapag-Lloyd halted Strait of Hormuz sailings. Maersk diverted services around the Cape of Good Hope. CMA CGM instructed vessels bound for the Gulf to seek shelter and suspended Suez Canal transits. MSC suspended worldwide bookings to the Middle East and directed vessels to safe areas.
Diversions around southern Africa add 10–14 days to key Asia–Europe and Asia–U.S. routes.
Onion growers warn of falling domestic prices and spoilage risks. Bharat Dighole of the Maharashtra State Onion Producer Farmers' Organisation has demanded a ₹1,500 per quintal subsidy, waiver of port and demurrage charges, temporary procurement, and government clarification on the war situation.
With exports halted and routes disrupted, exporters face longer transit times, mounting logistics costs, and continued supply chain uncertainty.
Sources: Container News, CNBC, BusinessLine
