West Asia conflict hits India's apparel exports
Business
India's clothing exports are facing some real hurdles thanks to the ongoing conflict in West Asia.
Shipping routes are now much longer, with delays of up to two weeks and extra costs of ₹12 to ₹55 per garment, according to the Apparel Export Promotion Council (AEPC).
Gulf is a key market for India
Exporters also have to pay a new "Emergency War Surcharge" of about $1,200 for a 20-foot container, meaning shirts or winter coats shipped to the affected markets became pricier (for example, roughly ₹12 per shirt and ₹55 per winter coat).
The Gulf is a key market for India's apparel industry. West Asia accounts for nearly 11.8% of apparel exports, so these rising costs and delays really sting at a time when profits are already tight.