Middle East conflict raises shipping risks for African fresh produce exporters

SOUTH AFRICA – Exporters in South Africa’s Western Cape say the conflict in the Middle East has started to affect fruit shipments to the region, raising fuel costs and creating uncertainty for companies that depend on Gulf markets.

Exporters Western Cape, a body that supports exporters in the province, warned that the situation could affect agricultural trade if disruptions continue. The Middle East, especially the United Arab Emirates, has grown into an important market for fruit from the Western Cape.

Terry Gale, chairperson of the group, said exporters already feel the pressure from rising fuel prices.

“As tensions increase in the Middle East, we already see the knock on effects locally through rising fuel prices,” Gale said in a statement. “For exporters working with tight margins, especially in agriculture, these cost increases affect operations very quickly.”

Shipping disruptions raise concern

Exporters now face problems with cargo routes as several shipping lines change or withdraw services to parts of the Middle East.

Gale said the biggest concern involves shipments that already left port.

“The immediate challenge now facing exporters is what happens to containers that are already on the water or moving toward these markets,” he said.

Fresh produce exports must follow strict plant health and market rules. These rules prevent exporters from sending the same cargo to a different country if the original market becomes unreachable.

“This creates a serious problem for exporters,” Gale said. “When a shipment cannot reach its destination and regulations block redirection to another market, the exporter carries the full risk.”

Exporters Western Cape called for close cooperation between industry and government. Gale said officials from the Department of Trade, Industry and Competition should assess the scale of the risk and consider support if disruption continues.

Meanwhile, Transnet National Ports Authority said it continues to monitor shipping traffic. The authority stated that it has not received new requests from vessels seeking berths due to route changes, but it remains ready to handle ships that may pass through the Cape of Good Hope.

Egyptian exporters seek temporary transport rule change

Logistics problems also affect exporters in Egypt. Higher transport costs have placed pressure on trade with Gulf countries, especially for potatoes.

Yassen Abdelhay, an Egyptian potato exporter, urged authorities to allow foreign trucks to enter Egypt without cargo during this period.

Under current rules, empty foreign trucks cannot enter the country in order to protect the local trucking sector and maintain balanced freight activity.

Abdelhay said the rule now creates difficulties for exporters.

“Temporarily allowing foreign trucks to enter Egypt empty could reduce transport costs by increasing the number of trucks available for export shipments,” he said.

He explained that exporters often already pay the cost of a full round trip because demand for transport from Egypt to the Gulf remains higher than traffic in the opposite direction.

Potatoes form a major export crop for Egypt and require timely delivery because of their seasonal nature.

“Disruptions caused by the war increase transport costs, delay shipments, and make planning contracts harder,” Abdelhay said. “If transport capacity and costs do not stabilize, export volumes could fall.”

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