India’s commerce department has assured exporters that it will support trade operations as the West Asia conflict disrupts shipping and air cargo routes. The government said it will use procedural flexibility, customs coordination, and engagement with banks and insurers to reduce disruptions and keep export-import cargo moving.
The assurance came after an inter-ministerial consultation on March 2 chaired by Special Secretary Suchindra Misra and DGFT chief Lav Agarwal. Officials, logistics operators, shipping lines, customs authorities, financial agencies, and export bodies reviewed risks to India’s cargo flows and export ecosystem.
Stakeholders told the commerce ministry that the operating environment has changed quickly. They flagged route changes, longer transit times, vessel schedule adjustments, container availability issues, and rising freight and insurance costs. They also highlighted risks for time-sensitive shipments.
Exporters also raised pressure points in cargo movement and working capital planning. These included perishables in transit, demurrage charges, rerouting delays, imported inputs used in export production, and possible stress on bank repayments if shipments slow down.
Industry representatives pointed to growing uncertainty around trade with the UAE, which remains a major market and transshipment hub for Indian exporters. The Indian Express reported that India’s exports to the UAE stood at $32.84 billion and imports at $56.59 billion during April 2025 to February 2026.
The commerce department said the government stands ready to provide flexibility in export-related authorizations when genuine disruptions occur. It also said it will coordinate with customs authorities for smooth clearance and cargo evacuation to avoid congestion and long dwell times at ports and inland container depots.
Officials and industry participants agreed to maintain close real-time coordination on route capacity, surcharges, and equipment availability. The ministry also discussed targeted facilitation for perishables, pharmaceuticals, and high-value manufactured exports which face a higher risk from delays.
Export bodies asked for short-term support as disruption costs rise. Requests also included relief on demurrage charges due to flight disruptions, restraint on export credit insurance premium increases and broader support for sectors facing shipment delays and certification timelines. These requests came from groups including apparel and engineering exporters.
The department said it will continue close engagement with ministries and stakeholders to address emerging issues quickly. It also said India will maintain a coordinated approach to protect supply chain resilience and preserve trade continuity during the conflict period.