Fashion
Indian container cargo to post resilient 8% growth in FY26: CareEdge
FY26 container volume growth is estimated to moderate by 100-150 basis points, with the underlying assumption of one-third impact of US tariff on export volumes of affected sectors, compensated mainly by capacity additions and increased transhipment activity, it said.
Container volume growth in India will be 8 per cent in FY26, backed by capacity expansion, rising transhipment activity and slated completion of the entire Western Dedicated Freight Corridor, CareEdge Ratings recently projected.
Rising insurance costs, shipping rates owing to volatility in the Shanghai Containerised Freight Index and transit times are weighing on the sector’s growth trajectory, it noted.
Rising insurance costs, shipping rates owing to volatility in the Shanghai Containerised Freight Index (SCFI) and transit times are weighing on the sector’s growth trajectory, it noted.
Cargo volumes on Gujarat’s coast fell by 6 per cent in May 2025 due to India-Pakistan tensions.
Additionally, the United States has imposed a 50-per cent tariff on Indian imports, adversely affecting key export sectors like home textiles and speciality chemicals.
While the United States accounting for 20 per cent of India’s exports, its share in sea-based trade (excluding electronic items) is barely 5 per cent, implying a moderate direct impact on port volume, CareEdge Ratings said in a release.
The organisation expects a significant impact on segments such as home textiles and readymade garments, gems and jewellery, shrimp products, automobile and engineering components and speciality chemicals based on their export exposure to the US and comparative tariff structure with other Asian countries.
Fibre2Fashion News Desk (DS)