India clamps down on port profiteering amid Strait of Hormuz crisis
New Delhi: Union Shipping Minister Sarbananda Sonowal has directed India’s marine regulator to ensure full transparency in port operations and crack down on any profiteering by handlers and agencies, amid ongoing disruptions linked to the Strait of Hormuz crisis.
The directive was issued during a high-level review last week assessing maritime traffic, logistics flow and port readiness to ensure the smooth movement of shipments and essential supplies.
Govt steps to stabilise port operations amid West Asia crisis
The Centre has initiated coordinated measures for the “rapid stabilisation” of port operations, aiming to minimise disruption to trade following initial backlogs triggered by the escalating West Asia conflict.
“Real-time monitoring and swift interventions have helped streamline port operations and efficiently clear backlogs, ensuring trade continuity and operational resilience,” Sonowal said.
Waivers and concessions must reach the vessels
The minister instructed authorities to ensure that relief measures—such as waivers on certain port rents and concessions on reefer (refrigerated cargo) charges—are fully passed on to vessels and shipping operators.
“This crisis must not become an opportunity for profiteering. All charges must be transparent and properly documented,” he said.
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Strait of Hormuz disruption impacts global energy supply
The ongoing conflict in West Asia has disrupted global supplies of crude oil and liquefied natural gas, triggering price volatility and supply chain uncertainty.
India, the world’s third-largest oil importer, depends heavily on the Gulf region for energy supplies. Nearly 90% of its crude oil, about half of its LNG, and a significant share of LPG imports transit through the Strait of Hormuz, which has been effectively blocked amid the crisis.
The government’s priority remains maintaining operational continuity, while safeguarding the interests of exporters, importers and logistics stakeholders, the minister added.