Iran leader's death disrupts India's $60B exports to West Asia
India's exports to West Asia, about $60 billion to $65 billion a year, is facing serious hurdles after reports of the death of Iran's Supreme Leader.
Exporters are worried, as disruptions at sea could put up to $4 billion in monthly exports at risk.
With shipping delays and costs rising, many are scrambling for new routes and backup markets.
Exporters are now looking for alternative markets
West Asia is a major lifeline for Indian exports, especially through big partners like the UAE and Saudi Arabia.
Over 80% of India's basmati rice exports go to West Asia, while food and agricultural exports are heavily exposed to West Asia, engineering goods are an important export category but are not shown to rely heavily on the region.
To keep things moving despite the tensions, India already has trade pacts such as the India-UAE CEPA and is pursuing additional agreements while exporters explore alternative markets in Africa and Southeast Asia.