Escalating security risks in the Persian Gulf, Gulf of Oman, Southern Red Sea, and parts of the Indian Ocean are disrupting global shipping and affecting fresh produce exports. Industry group BIMCO has issued guidance urging shipowners and charterers to review charter party agreements as security concerns intensify.
The advisory highlights key contractual clauses, including VOYWAR 2025 for voyage charters, CONWARTIME 2025 for time charters, and the BIMCO Force Majeure Clause 2022. These provisions allow vessel owners to refuse or adjust voyages if ships, cargo, or crew face war risks, while defining how delays, deviations, and additional costs are handled.
BIMCO notes that rising security incidents do not automatically trigger force majeure and that operators must assess whether circumstances meet the criteria for excusing performance. Shipowners and charterers are advised to review each charter party individually, monitor security intelligence, and document operational decisions. The organization also recommends consulting P&I Clubs, insurers, and legal counsel.
Exporters in several countries are already reporting disruptions to shipments. In India, fruit and vegetable exporters supplying West Asia and Europe are facing higher freight costs and longer transit times. Sea freight durations on some routes have increased to 40 to 45 days, compared with the usual 20 to 25 days.
Air freight has also tightened. Airlines are charging premiums of around 30% to 40% for shipments to Europe as capacity declines following the disruption of flights through key Middle Eastern hubs. Sea freight costs have also risen following war-related surcharges introduced by shipping lines.
Bangladesh has also been affected. Vegetable exports from Chattogram to Middle Eastern markets have been halted after flights to the region were suspended due to the escalating conflict.
The disruptions are now increasingly visible in India's export sector. Hundreds of containers loaded with fresh produce are stranded at the Jawaharlal Nehru Port Authority (JNPA) near Mumbai after shipping lines suspended services to several Middle Eastern destinations. Port authorities estimate that around 1,000 containers are currently stuck at terminals and the Centralised Parking Plaza, with additional consignments continuing to arrive.
Some vessels have been diverted via the Cape of Good Hope, increasing transit times, freight costs, and congestion at Indian ports. New bookings for fresh consignments have also been halted. The disruption has occurred during the month of Ramadan, when demand for fresh produce in Gulf markets typically increases.
Banana exports have been among the most affected. Around 350 banana containers are currently stranded at JNPA, including approximately 250 from Solapur, a region that exports about 40,000 containers annually. Export prices have already dropped from Rs 19–24 per kilogram to Rs 9–10 per kilogram, with domestic prices reported as low as Rs 5–6 per kilogram.
Grape shipments have also been disrupted. About 230 grape containers are stranded at JNPA, while additional volumes remain in cold storage. Exporters report that shipping lines have halted operations on the Middle East corridor and may introduce additional freight surcharges of US$3,800 per container on top of the existing US$1,000.
Onion shipments are facing similar delays. Around 300 onion containers are already stuck at JNPA while harvest volumes continue to arrive at the Lasalgaon market, India's largest onion trading hub. Export auction prices have fallen from Rs 14–16 per kilogram to Rs 11–13, with exporters warning that prices could drop further if shipping disruptions continue.
Watermelon exports are also affected, with more than 50 containers currently stranded at the port. Exporters say that while Oman's port remains open, the closure of Dubai as a major re-export hub has limited access to several Gulf markets.
Industry participants warn that if shipping lines do not resume operations soon, exporters may be forced to divert export-grade produce to the domestic market, increasing supply and putting additional pressure on farm prices. Shipping companies operating in the region are reviewing contracts and contingency plans as exporters adjust logistics and monitor developments in global transport routes.
Sources: Container News, The Economic Times, ANI, Food for Mzansi
