HIGH ocean freight rates and container and vessel shortages continue to haunt exporters as the increase in shipping costs has taken a negative impact on exports of several goods, reports New Delhi's Times of India.
The effect includes low-value commodities such as dehydrated onions, salt, and plastic products.
Although container rates have eased recently, they are still double or triple what they were before the Covid crisis.
'American importers are currently not placing any orders as high freight rates have driven up the landed cost of dehydrated onions,' said Mahuva exporter Vittal Koradiya.
According to industry players, 75,000 tonnes of processed onions were exported in 2020-21, with exporters hoping to end the current fiscal with 65,000 tonnes.
Industry players suggest that containers for shipments that were available within a day are now taking at least 20 days to a month, leading to substantial delays in shipments.
Said Clothing Manufacturers' Association of India chief mentor Rahul Mehta: 'With the availability of containers being erratic, export shipments are getting significantly delayed.'
'In such cases, international buyers are either insisting on sending shipments by air or canceling orders,' said Mr Mehta.
SeaNews Turkey
The effect includes low-value commodities such as dehydrated onions, salt, and plastic products.
Although container rates have eased recently, they are still double or triple what they were before the Covid crisis.
'American importers are currently not placing any orders as high freight rates have driven up the landed cost of dehydrated onions,' said Mahuva exporter Vittal Koradiya.
According to industry players, 75,000 tonnes of processed onions were exported in 2020-21, with exporters hoping to end the current fiscal with 65,000 tonnes.
Industry players suggest that containers for shipments that were available within a day are now taking at least 20 days to a month, leading to substantial delays in shipments.
Said Clothing Manufacturers' Association of India chief mentor Rahul Mehta: 'With the availability of containers being erratic, export shipments are getting significantly delayed.'
'In such cases, international buyers are either insisting on sending shipments by air or canceling orders,' said Mr Mehta.
SeaNews Turkey
