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Kolkata exports face delays and cost hikes amid West Asia conflict

Leather, fish and machinery consignments are stuck at sea and in airports, while importers are slowing fresh orders

Workers at Vinit Gloves Manufacturing, which exports industrial gloves and garments to West Asia Sourced by the Telegraph

Sanjay Mandal
Published 12.03.26, 08:42 AM

The war in West Asia has created fresh uncertainty for the city’s exporters, who were hoping for a turnaround after several crises in recent years.

Leather, fish and machinery consignments are stuck at sea and in airports, while importers are slowing fresh orders. Freight charges for ships and flights have also risen.

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Cargo stuck

A Calcutta airport official said airlines carry nearly 3,000 tonnes of cargo monthly to destinations including the UAE, Qatar, Kuwait, Bahrain, Saudi Arabia, Oman, Europe, the US and Canada.

“Of this, more than 50 per cent is leather goods. Garments, automobile parts (mainly from Jamshedpur) and other machinery are sent by air. Perishable items like vegetables, fish and meat are also sent in large quantities,” said the official.

Cargo is mainly carried by Emirates and Qatar Airways.

Since the war broke out, shipments have been lying at the airport. “Qatar Airways has yet to resume operations, while Emirates has barely resumed,” the official said.

Importers wait

Zia Nafis, director of Nafis Tanneries Industries, said a 1.5-tonne shipment of leather wallets for Germany has been stuck at the airport since February 27. “The consignment was booked on Qatar Airways, but the airline has not resumed operations,” he said.

Eastern India exports leather goods worth 5,000 crore annually, including wallets, belts, industrial gloves and finished leather, he said.

“New orders are not being placed as importers wait for the situation to improve,” said Nafis. He said an importer from France could not reach Calcutta last week because of flight disruptions.

Leather exports to Europe via the Red Sea and Suez Canal are also affected. An exporter said insurance premiums on vessels have increased.

Shipping companies have added $1,000-2,000 in emergency, contingency and peak season charges, said Vinit Kumar Khetan, managing director of Vinit Gloves Manufacturing.

Khetan exports industrial gloves and garments to Europe, the US and West Asia. “There is a 25 per cent slowdown in new orders. Increased freight costs will be borne by exporters, as importers will seek discounts,” he said. Shipments of 15,000 industrial garments to Bahrain, sent every two months, are stalled.

In cold storage

Fish exporters are facing similar problems. Rajarshi Banerji, of the Seafood Exporters’ Association of India, said: “The US tariff was reduced from 50 per cent to 10 per cent, providing some respite, but now we face a new crisis... Freight charges have risen, and all shipments to Gulf countries have been suspended. Most items are in cold storage.”

West Asia Conflict West Asia Tensions
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