Cairo, Oct 13 (IANS): Egypt's Suez Canal Authority (SCA) announced a 20-50 per cent reduction in transit and mooring fees for yachts in the Red Sea, effective on November 1.

"The move is part of the SCA's flexible marketing policies to encourage yacht tourism and develop marine tourism in the Red Sea region by providing facilities and incentives for yachts crossing the canal," the SCA said in a statement.

According to the statement, Yachts with a tonnage of 300 and below travelling from the north to the Red Sea will receive a 20 per cent discount on transit fees for the return journey, on the condition that they re-cross the Suez Canal from the Red Sea to the Mediterranean within a maximum of 60 days from their initial trips, Xinhua news agency reported.

It added that yachts staying at the Ismailia yacht marina for more than 90 days will be granted a 20 per cent discount on transit fees for the journey during which the storage occurred.

Yachts that arrive on time for transit and mooring at a yacht marina in Port Said or Suez to complete transit procedures will receive a 50 per cent discount on mooring fees, provided that they do not stay overnight or use any services such as electricity and water.

SCA Chairman Osama Rabie said Sunday that revenues of the Suez Canal dropped by 60 per cent, and the number of ships passing through the waterway decreased by 49 per cent since the beginning of 2024.

Rabie said that "the current situation and unprecedented challenges in the Red Sea region" pushed shippers to seek alternative navigation routes away from the Suez Canal.

Shortly after the outbreak of the Gaza conflict last October, Yemen's Houthi group has repeatedly attacked ships in the Red Sea that it asserts have links to Israel, allegedly to support Palestinians in their conflict with Israelis.

The Suez Canal is a crucial source of foreign currency for Egypt, a country still grappling with economic woes.