India's Container Prices Soar 27% Amid Global Tensions

News: Geopolitical challenges led to a 27% increase in container logistics costs in India’s shipping market in July. Despite this volatility affecting Asian markets, India has shown resilience, according to a report released on Thursday.

Most supply chain experts expect container prices to rise further in August, based on the results of the ‘Container xChange August Forecaster Survey.’

Christian Roeloffs, co-founder and CEO of Container xChange, a Germany-based online platform for container trading and leasing, stated that the Asian container logistics market has been unstable since last November when Houthi attacks caused disruptions in the Red Sea.

“India’s average container prices have been more stable compared to other Asian countries in 2023 and throughout 2024,” Roeloffs noted.

Since the beginning of 2024, India has seen a steady increase in container prices each month. Prices rose in July to $2,028, up from $1,941 in June and $1,603 in May 2024.

The report highlighted a continuous rise in average container prices in Chennai, increasing from $1,502.5 in December 2023 to $2,072.5 in July 2024.

The global geopolitical situation has particularly affected India’s container logistics market since April 2024, leading to higher prices and increased market instability.

Source: The Economic Times