Daijiworld Media Network – Mangaluru (EP)
Mangaluru, Jan 17: The ongoing conflict involving Houthi rebels in Yemen, who have been attacking ships in the Red Sea to express solidarity with Gaza, is taking a toll on cashew exports from the district.
The district, home to approximately 250 cashew factories, typically exports around 5,800 tons of cashew nuts annually. With an annual cashew production of 2,45,000 tons, the adverse impact of the attacks is felt significantly.
Kalbavi Consumer Foods Private Limited, a Mangaluru-based company and one of the leading exporters of raw cashews, stated that they are now redirecting exports to Africa due to the attacks.
Post-attacks, ships are compelled to alter their routes, sailing through the Cape of Good Hope in South Africa. This rerouting results in an additional 6,300 nautical miles and a 15-day delay in transit. As a consequence, cashew exporters from the district are incurring an extra cost of $2,000 per container for shipping goods.
The conflict has led to the unfortunate situation of more than 19,000 ships being stranded in the Red Sea, further exacerbating delays in shipments.