- West Africa bulk routes strengthen on Supramax demand
- Bunker surge and war tensions disrupt Gulf container trade
India’s rice export freight market strengthened w-o-w as of 5 March 2026, with bulk rates to West Africa and container freights from west coast ports rising amid geopolitical tensions, higher bunkers and tighter space.
“The current freight environment remains highly uncertain due to the ongoing conflict in the Middle East and rising marine fuel costs,” a source mentioned.
Another source told BigMint, “Bunker prices are shooting up, so it’s more of a wait-and-watch moment right now. There hasn’t been much fixing yet.”
Bulk market: West Africa routes firm on Supramax strength
Bulk rates from Kakinada to West Africa firmed on stronger Supramax sentiment and steady cargo flows, though activity remains cautious amid conflict-linked shipping and insurance risks.
“Some vessels stuck on the west coast of India due to the crisis are now becoming available at relatively cheaper levels. Exporters have started taking advantage of this, with some movement observed from Kakinada and Kandla, though activity from the east coast remains limited due to lower vessel availability,” a shipper said.
Container market: War uncertainty disrupts Gulf routes
Containerised rice exports from Mundra and JNPT strengthened on East Africa routes amid steady bookings and tight equipment, while rates to the UAE, Saudi Arabia, Iraq, and Somalia remain unsettled due to ongoing geopolitical tensions.
A market expert said, “Gulf and East shipments have almost stopped until further advisory from carriers. Routes to Europe and Africa are also affected, with transit times increasing and freight rates rising.”
Another exporter added, “Rice market is down currently. We are unable to get rates, and there are no clear vessel schedules for Gulf countries because of the war situation and insurance constraints.”
Middle East tensions push carriers to impose emergency surcharges
Rising Middle East tensions push carriers to add emergency surcharges on shipments to the UAE, Saudi Arabia, Jordan, Egypt, Djibouti, and Sudan, highlighting growing logistics challenges and higher freight costs for exporters.
Freight market: Bunker surge and war tensions drive volatility
The global dry bulk market stayed firm as the Baltic Dry Index edged up, supported by steady minor bulk demand and stronger Supramax sentiment, while high bunker prices and Hormuz tensions added volatility to freight and insurance costs.
“All rates are skyrocketing. Bunker costs have reached very high levels and vessel congestion is increasing, I have around 1,000 vessels waiting across several regions.” a freight forwarder told Bigmint.
Rice market: Demand slows amid uncertainty
Despite ample rice supplies supported by strong production and government stocks, trade sentiment has weakened as shipping disruptions and payment uncertainties linked to the conflict weigh on demand, with buyers adopting a cautious stance.
One source noted, “Due to problems in the Middle East, we could see a dip in shipments. Currently demand has become almost nil in both domestic and international markets.”
Outlook
Freight sentiment in India’s rice export market is expected to remain volatile as Middle East tensions continue to impact vessel availability, insurance premiums, and bunker costs. While Africa-bound shipments may stay supported, uncertainty across Gulf routes and higher logistics costs could limit fresh bookings until clearer carrier advisories and shipping conditions emerge.
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