Freight surge amid conflict raises concerns for India’s tea exports
Guwahati, April 23: Freight costs to Middle East and Western countries have gone up by multiple times, leaving the tea industry worried. The West Asia region accounts for over 40 per cent of the tea imports from India.
Exporters said that freight to Middle East is up by up to 10 times, while those to Western countries have also doubled.
Besides, exporters also told The Assam Tribune that buyers' accessibility continues to be reduced, while travel and shipping has been restricted.
"Trade continues to be restricted. If the war prolongs, it could have a serious impact on the exports. If it is over by the next one or two weeks we can recover the lost ground," leading exporter Mohit Agarwal said.
Admitting the freight cost escalation, chairman of the India Tea Exporters Association Anshuman Kanoria, however, said it is a bit early to state the export scenario.
"The stocks in the importing countries are running low and the season has just started. The demand for Indian tea remains intact in the Middle East and North African countries and exporters are optimistic of a good performance once war is over and geo-political issues re-solved," he said.
Kanoria, however, struck a note of caution over the new pesticide legislation in Europe, which might affect exports from India.
Tea exports from India had reached an all-time high of 280 million kgs in 2025.
Countries in the Middle East saw strong demand.
Between January-September last year, India exported around 254.19 million kgs of tea. Over 48.88 million kgs were imported by Iraq, around 10.69 million kgs by Iran, 45.66 million kgs by UAE and over 10 million kgs by Iran. Exporters say a bulk of exports to Iran is routed through Dubai.
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