Indian Rice Exporters Federation (IREF) has said that rice exporters sought urgent government support to mitigate the impact of shipping disruptions amid Iran crisis and instability across key maritime routes. It said that exporters are facing an acute shortage of containers, suspension or cancellation of vessel calls to the Middle East, and sharply higher logistics costs. 

It noted that international freight rates have risen by an estimated 15-20 per cent, while war-risk surcharges and insurance premiums for Gulf-bound shipments have increased significantly. Bunker fuel costs have also climbed, with marine fuel oil prices rising to around $580 per tonne from about $520. The disruptions have also weighed on domestic prices, with basmati rice prices falling about 7-10 per cent in the past 72 hours, intensifying working-capital pressures for exporters. 

The federation has also requested facilitation for cargo in transit to be returned, redirected or diverted, with support from customs authorities and the Reserve Bank of India for documentation and payment adjustments. Further, exporters have sought an official advisory from the government or Agricultural and Processed Food Products Export Development Authority (APEDA) recognising the disruption as a force majeure-type event, which they say would help prevent contractual penalties.