High shipping rates, low availability of containers as well as the war in Ukraine have made the Indian grape season more difficult than in previous years. With shipping lines cancelling routes to Russian harbours, it’s nearly impossible for Indian fresh produce exporters to supply the Russian market, which is an important one for them.
It’s anything but business as usual for the Indian grape exporters this year. According to Amit Kalya, CEO of Kalya Exports, there are several factors making this year more challenging than expected beforehand: “The season for Indian grapes has been quite different from usual this year. Sea freight prices are very high, there’s an actual war going on in the world and some rains in India have affected the grape season as well. Demand in general is quite good overall, but we still struggle to get have business viability this year, due to the higher sea freight. We’ve been shipping to markets in Asia, Russia, EU and the Canadian market, the latter of which is getting better every year.”
India sends a lot of produce to Russia every year, but the war in Ukraine has made supplying the Russians more difficult, Kalya explains. “Russia has been an important market for Kalya Exports, and many other exporters from India. The entire industry is facing problems now, because of the slump in the market. At the moment we can’t ship to Russia, as shipping companies are cancelling all new ships to Novo and other Russian ports. On top of the freight rates being high, vessels are also not reaching their destination in time due to berthing issues. Obtaining containers is also nearly impossible, as they are stuck in Russia and vessels are delayed. This combination creates lots of problems for perishable cargos, such as grapes.”
“We don’t expect much change in the upcoming months when it comes to other markets. Demand is steady and the supply of grapes from India well be steady as well. This should help us to export to better markets.” Kalya concludes.
For more information:
Amit Kalya
Kalya Exports
Tel: +91 9890673321
Email: amit@kalyaexports.com
www.kalyaexports.com