
The government has constituted an inter-ministerial group to monitor developments in West Asia on a daily basis. Commerce and Industry Minister Piyush Goyal has informed that this group will assess possible risks in shipping, logistics, exports and important imports. Exporters have expressed concern over the increasing tension in West Asia after the joint attack by America and Israel on Iran. They fear that this could disrupt sea routes, leading to a huge increase in transportation costs and insurance premiums. Let us also tell you what kind of information he has given.
The Inter-Ministerial group is closely monitoring the developments in West Asia. pic.twitter.com/XwWNsUHBTS
— Piyush Goyal (@PiyushGoyal) March 3, 2026
Inter ministerial group formed
Addressing an online webinar after the Budget, Goyal said that we have formed an inter-ministerial group which meets every day and is closely monitoring the developments in West Asia. This will assess any weaknesses in our shipping, logistics, exports and critical imports and we will work with various ministries to ensure action. During the first meeting of the group held on Tuesday, various ministries have given some suggestions. Goyal said that we will work on those suggestions and welcome your valuable suggestions in the Commerce Ministry so that the West Asia crisis has minimal impact on India.
Today, a consultation meeting was held with all stakeholder Ministries, key logistics and trade facilitation partners to review the emerging geopolitical situation and its potential impact on India's Exports and Imports.
The Modi Government's readiness to facilitate trade
— Piyush Goyal (@PiyushGoyal) March 3, 2026
The minister said in a social media post that the meeting was held to review the emerging geopolitical situation with all concerned ministries, key logistics and trade facilitation partners. He said the readiness of the Narendra Modi government has been reiterated through measures such as procedural flexibility in export certificates, coordination with customs and port authorities to ensure smooth clearance, and coordination with financial and insurance institutions to protect the interests of exporters.
24/7 help desk also established
Goyal said that in this context, 'Inter-Ministerial Group (IMG) has been formed to strengthen the supply chain. It includes members from the Department of Financial Services, Ministry of External Affairs, Ministry of Ports, Shipping and Waterways, Ministry of Petroleum and Natural Gas and Central Board of Indirect Taxes and Customs (CBIC). The government has also set up a 24/7 help desk for exporters and importers at the Directorate General of Foreign Trade (DGFT). Federation of Indian Export Organizations (FIEO) Director General Ajay Sahay said that at present the situation is uncertain. Shipping companies have imposed a 'surcharge' or 'incidental fee' of between $1,000 and $4,000.
Bharat is firmly onboard the Reform Express with over 350 multi-faceted reforms since August, 2025 alone. pic.twitter.com/UDTsYCZ5Wn
— Piyush Goyal (@PiyushGoyal) March 3, 2026
Sahay said that this will increase transportation expenses. It is extremely regrettable that this surcharge has been imposed even on those consignments which have already departed from the ports. He also said that if shipping companies pass through the Red Sea, they are not even getting insurance protection. Exporters fear that if the conflict spreads to other parts of the Arab world, the movement of goods through the Bab-el-Mandeb, the Red Sea and the Suez Canal could be affected.
Quality should be ingrained in every aspect. It will define our success story. pic.twitter.com/qCuk3AIPP2
— Piyush Goyal (@PiyushGoyal) March 3, 2026
Cost may increase
The Bab-el-Mandeb Strait is an important route connecting the Red Sea and the Mediterranean Sea with the Indian Ocean. If there is disruption on this route, ships may have to detour around Africa via the 'Cape of Good Hope'. Due to this, there may be an estimated delay of 15-20 days in the time of consignment going to Europe and America. Any disruption in logistics will lead to a huge increase in costs related to shipping, containers, demurrage and insurance. As a result, Indian goods will no longer be competitive in the global market. Additionally, there will be huge delays in the arrival of consignments due to diversion of goods.
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