Rising geopolitical tensions around the Strait of Hormuz are threatening a significant portion of India’s tea exports, with industry body Tea Association of India (TAI) warning that nearly 41% of the country’s overseas shipments could face disruption if the crisis intensifies.
The association said a large share of Indian tea exports is destined for markets in West Asia and neighboring regions, with cargoes typically routed through the Hormuz corridor — one of the world’s busiest maritime passages for energy and commodity trade. Any prolonged disruption to vessel movements in the area could delay shipments and raise freight and insurance costs for exporters.
Industry officials noted that countries such as Iran, United Arab Emirates and Iraq remain major buyers of Indian tea, making the sector particularly vulnerable to instability affecting Gulf shipping lanes.
Exporters warned that uncertainties around vessel availability, rerouting risks, and rising war-risk premiums could squeeze margins and slow down dispatches from key tea-producing regions in eastern and southern India. Some buyers have already begun delaying new purchase contracts until shipping conditions stabilize.
India is among the world’s largest tea exporters, shipping significant volumes to more than 25 countries. Industry representatives say prolonged disruptions around the Hormuz route could lead to supply chain bottlenecks, increased logistics costs, and potential loss of market share to competing tea-producing nations.
TAI has urged the government to closely monitor developments and support exporters with logistics facilitation and risk mitigation measures if maritime disruptions escalate in the coming weeks.
