Suez Canal: As salvage efforts continue, India comes up with 4-point plan

New Delhi: With the Suez Canal crisis at its peak, concerns are rife that a rescue mission may take much longer than anticipated.

And now it is leading to another issue that is increasingly adding to exporter worry — escalation in shipping costs.

Meanwhile, India has chalked out a four-point plan to deal with the situation arising from the blockage of the Suez Canal including advising ships to re-route via Cape of Good Hope.

This plan was chalked out in a meeting convened by the logistics division, department of commerce, government of India Friday. It includes prioritisation of cargo, freight rates, advisory to ports and re-routing of ships.

A 193-km canal, which is an artificial sea-level waterway in Egypt, connects the Mediterranean Sea to the Red Sea and provides the shortest sea link between Asia and Europe.

The 224,000-tonne container ship was grounded in the Suez Canal on Tuesday morning, completely blocking the traffic along the waterway and delaying a number of ships carrying cargo ranging from oil to consumer goods.

This trade route, which enables direct shipping between Europe and Asia, has around 50 ships passing through it every day which amounts to approximately 12% of world trade.

 

NT Bureau