Bangladesh dollar trade to be hit by India’s port restrictions, may lose $770 million

India’s recent move to restrict port access for several Bangladeshi imports is poised to significantly disrupt Dhaka’s dollar-earning export sectors, especially garments and processed goods. The directive, issued by the Directorate General of Foreign Trade (DGFT) on May 17, redirects shipments from traditional land ports to just two seaports Nhava Sheva and Kolkata impacting port logistics in supply chain operations between the two nations. As per the Global Trade Research Initiative (GTRI), the measure could affect up to $770 million worth of imports, or 42% of Bangladesh’s total exports to India. Garments, the country’s top export category, brought in $618 million between April 2024 and February 2025. These shipments will now rely exclusively on sea routes, sidelining key land crossings through West Bengal and India’s northeastern region routes that have long been integral to shipping ports and freight handling. Additionally, about $153 million worth of products including flavored drinks, plastic goods, wooden furniture, and cotton waste are now entirely barred from land-route access. However, essential commodities like LPG, edible oils, fish, and crushed stones remain exempt. Transit goods headed to Nepal and Bhutan via India also face no restrictions. While India has not officially cited geopolitical motives, analysts view the move as a countermeasure to Bangladesh’s recent trade barriers on Indian goods, such as a yarn ban, and transit fee imposition actions that broke from earlier duty-free arrangements under regional cooperation. This shift raises questions about escalating India port congestion and the broader role of smart port and supply chain systems in resolving such tensions. According to Ajay Srivastava of GTRI, these restrictions may represent a strategic response by India, which is already navigating port congestion in India and broader regional supply chain complexities.

May 19, 2025 | Logistics
Delhivery shares zoom 15% on record EBITDA margin expansion

Domestic brokerage firm Nuvama has reiterated its ‘Buy’ rating on Delhivery, citing a strong Q4 FY25 performance, particularly in the company’s Part-Truckload (PTL) segment. PTL revenue surged 24%, propelled by a 19% increase in volume and a 5% rise in realisation. The segment also achieved record EBITDA margins of 10.8%, a significant improvement from 2.2% a year earlier, thanks to improved yields, better fleet utilization, and operating leverage marking a strong case study in supply chain management efficiency. Delhivery's express parcel segment also grew modestly, with revenue up 3% and a 1% increase in volume and 2% in realisation. According to Nuvama, the company is well-positioned to capitalize on consolidation in the express parcel space, particularly with its proposed acquisition of e-com Express (awaiting CCI approval), a strategic move that reflects emerging trends in digital supply chain transformation and SCM innovations in India. The brokerage raised its EBITDA estimates for the company by 8–13% year-on-year, driven by PTL’s robust performance. Nuvama also increased the stock’s target price to ₹430 from ₹380, projecting continued momentum based on aggressive PTL expansion, lower capex, and strategic acquisitions. These factors position Delhivery as a frontrunner in the future of supply chain management. With rising monthly volumes since April, Delhivery is expected to gain market share and pricing power, which could help margins rebound to 16% in FY25. The logistics player continues to be an example of how supply chain demand planning and supply chain management can drive profitability in a dynamic logistics sector. Delhivery’s growth trajectory and innovation will likely be a key topic at upcoming forums like the Supply Chain Leadership Summit and other best supply chain events in India, as industry leaders seek new strategies in electronic supply chain management, supply chain financing, and future supply chain tracking.

May 19, 2025 | Logistics

Russia detains Greek oil tanker after it departs Estonian port

Russia has detained the Green Admire, a Greek-owned oil tanker sailing under the Liberian flag, after it departed the Estonian port of Sillamäe and entered Russian waters via a previously approved navigational route. The route had been jointly agreed upon by Russia, Estonia, and Finland to allow safe passage for large vessels, particularly around Estonia’s shallow coastline highlighting the delicate nature of port logistics in supply chain management in the Baltic region. The Green Admire was carrying shale oil destined for Rotterdam, according to Estonian Public Broadcasting (EPB). Its interception is being seen as a serious breach of protocol, prompting Estonia to reroute all maritime traffic to and from Sillamäe exclusively through its own territorial waters. “Today’s incident shows that Russia continues to behave unpredictably,” said Estonian Foreign Minister Margus Tsahkna, noting that NATO allies have been informed. This development follows a recent naval confrontation involving Estonia’s interception attempt of an unflagged tanker, suspected to be part of Russia’s “shadow fleet” a network of vessels used to circumvent Western sanctions. Russia escalated the situation by sending a fighter jet that violated Estonian airspace, raising further alarms in regional security circles.The incident underscores growing instability in shipping ports and freight handling operations near the Russian border and raises concerns about secure routing alternatives. It also puts renewed focus on the role of smart port and supply chain technologies in navigating geopolitical risks, particularly as global trade lanes remain vulnerable to political tensions and militarization. As maritime strategies shift, Baltic nations and NATO partners may need to invest further in resilient chain supply management solutions to reduce reliance on shared routes with Russia and ensure uninterrupted cargo flows in a region already grappling with broader security threats.

India Supply Chain Summit 2025

December 4-6, 2025 | Gandhinagar, Gujarat
KITA: Korean Processed Critical Minerals Contribute to U.S. Supply Chain Stability

The Korea International Trade Association (KITA) announced on May 19 that it submitted a formal opinion to the U.S. Department of Commerce, voicing concerns over the ongoing Section 232 national security investigation under the U.S. Trade Expansion Act. The submission, made on May 16 the final day for stakeholder feedback focuses on safeguarding South Korea’s position in the international trade supply chain of critical minerals. The investigation, initiated by the U.S. on April 22, seeks to determine whether imports of processed critical minerals and related products pose a risk to national security. Based on the findings, Washington may impose new trade restrictions or tariffs, which could affect international trade and supply chain management globally. KITA argued that South Korean exports of processed critical minerals do not threaten U.S. national security and should be excluded from Section 232 actions. The association emphasized Korea’s leadership as chair of the Minerals Security Partnership (MSP), a U.S.-led initiative aimed at strengthening and diversifying the global trade and supply chain management of critical minerals. Highlighting Korea’s role as a strategic ally, KITA urged the U.S. to consider the long-standing partnership in the MSP, which includes key players in the international trade and supply chain network. The association further emphasized that South Korea's involvement enhances global stability and supports secure exim in supply chain operations for all member countries, including the U.S.

May 19, 2025 | Global Trade
China’s rare earth export curbs are stirring global supply chain fears

Despite China issuing some export licenses for rare earth materials, particularly to firms serving European clients, approvals remain sluggish and insufficient to meet growing demand. The delay is causing widespread concern among manufacturers across Europe. “The window to avoid significant damage to production in Europe is rapidly closing,” said Wolfgang Niedermark, board member of the Federation of German Industries, in a statement to the Financial Times. Volkswagen confirmed that its German plants had received limited rare earth supplies, noting that only a few licenses were granted to its suppliers. Other European companies continue to face serious disruptions in their export supply chain management due to China’s stringent and unclear export procedures. One executive described the situation as “untenable.” China’s new export rules require exporters to submit end-use certificates to prevent military diversion or re-export to the U.S. However, both exporters and buyers report that compliance remains confusing and difficult. India’s Mahindra & Mahindra criticized the certification process as opaque, while a Chengdu-based supplier said any military-related applications are immediately rejected.  

May 19, 2025 | Import & Export
Govt. nod for ₹3-crore special package for paddy procurement in Kuttanad

The Kerala government has approved a special package of ₹3 crore for the Agriculture Department to procure paddy from the Kuttanad region, where several ‘Paadasekharams’ have been affected by saline water intrusion, Agriculture Minister P. Prasad announced on Thursday. Due to the poor quality of the harvested paddy, mill owners refused to accept the produce, prompting the government to intervene. As a solution, Oil Palm India has been tasked with the procurement of the affected paddy. The Agriculture Department will evaluate the quality, and the Director of Agriculture will fix the purchase price accordingly. The Director has also been instructed to assess the scale of crop loss in the region.Around 70 ‘Paadasekharams’ in areas including Alappuzha municipality, Punnapra North, Thakazhi, Karuvatta, Ambalappuzha South, Nedumudi, Kainakari, and Pulinkunnu have reported damage due to saline water, which has led to a drop in both the quality and quantity of the paddy harvest.

May 16, 2025 | Procurement

India a Supply Chain Hub

Why the India-Pakistan Conflict Could Choke the Global Supply Chain
In April 2025, the longstanding geopolitical tensions between India and Pakistan once again escalated following a terrorist attack on Hindu tourists in Pahalgam, Kashmir. This tragedy reignited a period of military confrontation, marked by missile strikes, artillery exchanges, and cyberattacks. While both nations have a history of conflict, the current hostilities have exposed an alarming vulnerability: the fragility of global supply chains. The interconnectedness of today’s global economy means that disruptions in one region can ripple across borders, affecting international trade, logistics, and the broader market. This article seeks to explore how the India-Pakistan conflict, given its geopolitical and economic ramifications, could severely affect global supply chains, especially in the fields of transportation, commodity markets, cybersecurity, and international trade agreements. Disruption of Trade Routes One of the most immediate consequences of the India-Pakistan conflict is the disruption of crucial trade routes. While formal trade between the two countries was suspended in 2019, goods have continued to flow informally across the border, particularly in sectors like agriculture and textiles. However, the ongoing military confrontations have prompted the closure of land borders, rerouting cargo through longer, more complex routes. For instance, shipments that would have previously moved from Pakistan through India into Central Asia are now diverted to alternate passages through Iran or China, adding significant time and cost to deliveries. This change in routing affects everything from food supplies to industrial materials, making the global supply chain more volatile. The cost of doing business has skyrocketed as companies must pay more for insurance, delays, and alternate routes. Rerouting not only affects businesses in India and Pakistan but also has a profound impact on the global market. Since Pakistan is a key transit hub for goods moving between Asia and the Middle East, delays in this region can have a cascading effect on the timeliness and cost of global exports. Impact on Port Operations India’s extensive coastline hosts several important seaports, including Mundra, Jawaharlal Nehru Port, and Kandla, which are vital for the transportation of goods in and out of the country. These ports are part of the broader trade infrastructure that supports supply chains in the Middle East, Europe, and beyond. However, the ongoing conflict has significantly disrupted port operations, not only due to security concerns but also due to logistical difficulties exacerbated by airspace closures and damaged transport routes. For example, Kandla Port, located on India’s western coast, was temporarily closed due to missile threats, halting the shipment of essential goods like crude oil and manufactured goods. Mundra Port, another key player, has reported delays due to personnel shortages and limited truck movements, further affecting the timeliness of deliveries. While these ports are gradually recovering from operational disruptions, the potential for further attacks or border escalations continues to hang over them. As supply chains around the world rely heavily on just-in-time logistics, any disruption, no matter how brief, can create substantial ripple effects across industries, especially in the electronics, automotive, and textile sectors. Airspace Restrictions Air cargo is another critical component of the global supply chain, and disruptions to air travel in South Asia can have far-reaching consequences. In the aftermath of the India-Pakistan conflict, 32 airports in northern India were closed due to airspace restrictions, hampering the swift transportation of goods that rely on airfreight. The closure of these airports particularly affects industries such as electronics, pharmaceuticals, and luxury goods, where speed is essential. With the airspace restricted, cargo flights were forced to reroute, adding significant delays to deliveries. Furthermore, airlines had to cancel several international flights, which, in turn, affected the movement of personnel and goods. Though airports have reopened, airspace restrictions remain in place, making it more difficult for international cargo services to operate smoothly. Given that much of the world’s trade relies on timely airfreight shipments, particularly between Asia, Europe, and North America, airspace restrictions and logistical disruptions could lead to supply shortages or the inflation of shipping costs. The ramifications of these delays will be felt most acutely in industries with tight inventory cycles, such as electronics and pharmaceuticals. Cybersecurity Threats The India-Pakistan conflict also highlights the growing threat of cyberattacks in global supply chains. Both nations have been involved in cyber warfare for years, and this conflict has seen an escalation of such activity. Pakistani hacker groups have launched targeted cyberattacks against key sectors in India, including energy infrastructure, transportation networks, and financial institutions. These attacks not only threaten national security but also pose a risk to the smooth functioning of global trade. For instance, the disruption of power grids in India could impact factory production and logistics hubs critical to the global supply chain. In addition, cyberattacks against financial institutions can interfere with payments and settlements across borders, delaying the clearance of international transactions. This kind of disruption can extend far beyond the India-Pakistan region, as cybercrimes increasingly affect multinational companies that depend on secure and uninterrupted data and financial systems. Commodity Market Volatility The India-Pakistan conflict has also resulted in significant volatility in commodity markets. India, a key global player in the rice, wheat, and tea markets, faces increased uncertainty in its ability to export these goods due to ongoing hostilities. Basmati rice prices have surged in international markets, as importers look to secure long-term contracts in anticipation of disruptions. Similarly, the conflict has negatively impacted India’s tea exports to Pakistan, which represent a considerable percentage of India’s tea industry. Other sectors, such as the chemicals and energy industries, also face price volatility. As the conflict continues, there is an increased risk of disruptions to oil and natural gas shipments from the region, which could cause fuel prices to spike globally. Such market instability could further strain businesses and consumers alike, particularly in countries reliant on imports from India and Pakistan. Insurance and Shipping Costs The financial impact of the conflict is also felt in the rising cost of insurance and shipping. Due to the increased risk in the region, shipping companies and insurers are charging higher premiums to cover goods moving through affected areas. Freight costs are expected to climb as transport routes become less reliable and more costly to navigate. Additionally, shipping crews are increasingly reluctant to operate in areas of heightened risk, further complicating logistics operations. For global companies already operating on thin margins, these increases in costs can be devastating, forcing businesses to either absorb the added expense or pass it on to consumers. These price hikes may eventually result in global inflation, affecting industries as diverse as food, clothing, electronics, and automotive manufacturing. Strategic Implications The geopolitical fallout from the India-Pakistan conflict also underscores the broader strategic implications for global trade. India’s push to develop the Chabahar Port in Iran and counterbalance China’s investment in Pakistan’s Gwadar Port reflects the high-stakes geopolitics at play. These developments along with the ongoing rivalry between India and Pakistan could lead to a realignment of global supply chains. Companies operating in the region may need to rethink their strategies to minimize risks, diversify supply sources, or avoid certain regions altogether. As China strengthens its hold on trade routes through the China-Pakistan Economic Corridor, India’s efforts to secure alternative trade routes will play a pivotal role in shaping the future of supply chains in Asia and beyond. The India-Pakistan conflict illustrates the interconnected nature of global supply chains and how localized geopolitical tensions can quickly escalate into widespread disruptions. From trade route closures to airspace restrictions, cyberattacks, and market volatility, the conflict has shown that no industry is immune from the effects of such disputes. As global supply chains continue to evolve, businesses and governments must invest in contingency plans and develop strategies to increase resilience against geopolitical risks. Lastly, The increasing reliance on international trade and the growing complexity of logistics networks makes it essential to monitor potential flashpoints like the India-Pakistan border. Given the ongoing nature of this conflict, adaptive planning, diversification of supply sources, and heightened awareness of geopolitical risks will be critical in ensuring the continued flow of goods in an increasingly uncertain world.
World’s Longest Hyperloop? India’s Modest Milestone Mocks the Hype
Imagine a pod zooming through a steel tube at over 1,000 km/h, delivering goods or people faster than a flight. That’s the big promise of hyperloop, a concept that’s been around for a while, but never really took off. And now, India’s getting in the game. Union Railways Minister Ashwini Vaishnaw recently announced that IIT Madras is building Asia’s longest hyperloop test track, a 410-meter-long vacuum tube, which will later stretch to 460 meters. It’s a research initiative and will help us study the technology. But here’s the real question: what does it mean for India’s supply chains? A Hype Loop, Not a Hyperloop? Let’s break it down. The hyperloop was first proposed by Elon Musk in 2013 to fix “soul-destroying traffic.” His idea: put people or cargo in a capsule, move it inside a tube using magnetic levitation, and remove air resistance by making it a near vacuum. Fast, futuristic, and fancy but is it feasible? So far, not really. Hyperloop companies in the US, France, and UAE tried and failed. One of the most famous, Hyperloop One, did a small test in 2020 500 meters, two people, and a speed of just 175 km/h. That’s slower than our freight trains. The company shut down in 2023. Others like Hyperloop TT started projects that were cancelled, delayed, or simply forgotten. Even Japan, known for its maglev trains, hasn’t built a working hyperloop yet. So why is India jumping in? Will It Help Our Logistics Sector? India’s logistics and supply chain industry is massive and growing fast. With the Gati Shakti plan, Dedicated Freight Corridors, and multi-modal logistics parks, we’re aiming to make goods movement faster, cheaper, and cleaner. These are real, grounded efforts. Hyperloop, on the other hand, is still a lab experiment. It's expensive, untested at scale, and comes with lots of technical and safety concerns. Maintaining a vacuum across hundreds of kilometres, ensuring safety, and avoiding system breakdowns is no small task. Yes, hyperloop is often sold as a game-changer for cargo transport. Imagine shipping pineapples from Assam to Delhi in two hours! But we’re nowhere near that. No country has built a working, cost-effective freight hyperloop. The tech is cool on paper, but not ready for India’s supply chain realities not when basic issues like cold storage, last-mile connectivity, and warehouse automation still need fixing.
Microsoft Is Making Supply Chains Smarter with AI and Connected Data
Microsoft Is Making Supply Chains Smarter with AI and Connected Data In today’s world, businesses are dealing with all kinds of supply chain issues, whether it’s a natural disaster, a war, or just rising costs. That’s why companies are now focusing on building resilient supply chains systems that can handle problems and bounce back quickly. Microsoft is helping companies do just that by connecting data, using AI, and offering tools that make it easier to plan, respond, and deliver. Visibility, Efficiency, and Smarter Planning Are Now Top Priorities Supply chain leaders today are focused on seeing the whole picture, cutting down costs, and getting better at predicting problems before they happen. With the right tools and strategies, they can stay ahead by spotting trends, understanding customer needs, and avoiding disruptions. Why Data Is the Backbone of Modern Supply Chains Everything in the supply chain from forecasting to tracking shipments to managing warehouses—relies on good data. When you know exactly where your products are, how your suppliers are doing, and what your customers want, you can make smarter decisions and avoid costly mistakes. Microsoft helps companies build strong “data estates” basically, organized systems that gather, clean, and connect data from across the business. AI Supercharges Supply Chains Once your data is in place, AI takes things to the next level. Microsoft’s AI tools help with predicting demand, managing warehouses, optimizing delivery routes, checking supplier performance, and even simulating “what-if” scenarios. AI doesn’t just automate work; it helps teams see problems coming and act faster. And by 2027, half of global companies are expected to be using GenAI platforms to make real-time, data-driven decisions.
Cementing the Future: How Digital Transformation is Redefining Cement Logistics in India
Cementing the Future: How Digital Transformation is Redefining Cement Logistics in IndiaIndia is one of the largest producers and consumers of cement in the world. With the growing demand for infrastructure and housing, the cement industry plays a vital role in the country’s development. But behind every bag of cement delivered to a construction site lies a complex logistics system. Transporting cement from factories to warehouses, dealers, and customers is not easy. It involves managing time, routes, vehicles, and costs. Until recently, this process was largely manual and inefficient. But now, digital transformation is changing the game. The Need for Change in Cement Logistics Traditional cement logistics in India faced several challenges. Delays in delivery, lack of real-time tracking, poor coordination between transporters and dealers, and high fuel and transportation costs were common. With cement being a bulky and time-sensitive product, even small delays could lead to big losses. Moreover, cement companies often struggled to maintain proper inventory levels at different locations. To solve these issues, the industry needed smarter and more efficient systems. That’s where digital technologies stepped in. The shift to digital logistics has helped companies gain better visibility, make faster decisions, reduce costs, and improve customer satisfaction. Real-Time Tracking and GPS Integration One of the biggest changes brought by digital transformation is real-time tracking of shipments. Cement companies now use GPS-enabled trucks and logistics software to monitor the location and movement of their vehicles. This allows them to ensure timely delivery, reroute vehicles if needed, and inform customers about delays in advance. With tracking systems in place, transport managers can also analyse route efficiency, monitor driver behaviour, and reduce fuel wastage. This helps save money and improve delivery performance. Digital Order Management Systems Earlier, cement dealers had to place orders by phone or email, and tracking those orders was difficult. Today, digital order management systems have made the process smoother. Dealers can now place and track orders through mobile apps or online portals. These systems automatically update inventory levels, generate invoices, and alert logistics teams about new orders. This not only reduces paperwork and manual errors but also ensures that everyone in the supply chain is on the same page. It helps in better planning of dispatches and vehicle allocation.

Logistics

Russia detains Greek oil tanker after it departs Estonian port

Russia has detained the Green Admire, a Greek-owned oil tanker sailing under the Liberian flag, after it departed the Estonian port of Sillamäe and entered Russian waters via a previously approved navigational route. The route had been jointly agreed upon by Russia, Estonia, and Finland to allow safe passage for large vessels, particularly around Estonia’s shallow coastline highlighting the delicate nature of port logistics in supply chain management in the Baltic region. The Green Admire was carrying shale oil destined for Rotterdam, according to Estonian Public Broadcasting (EPB). Its interception is being seen as a serious breach of protocol, prompting Estonia to reroute all maritime traffic to and from Sillamäe exclusively through its own territorial waters. “Today’s incident shows that Russia continues to behave unpredictably,” said Estonian Foreign Minister Margus Tsahkna, noting that NATO allies have been informed. This development follows a recent naval confrontation involving Estonia’s interception attempt of an unflagged tanker, suspected to be part of Russia’s “shadow fleet” a network of vessels used to circumvent Western sanctions. Russia escalated the situation by sending a fighter jet that violated Estonian airspace, raising further alarms in regional security circles.The incident underscores growing instability in shipping ports and freight handling operations near the Russian border and raises concerns about secure routing alternatives. It also puts renewed focus on the role of smart port and supply chain technologies in navigating geopolitical risks, particularly as global trade lanes remain vulnerable to political tensions and militarization. As maritime strategies shift, Baltic nations and NATO partners may need to invest further in resilient chain supply management solutions to reduce reliance on shared routes with Russia and ensure uninterrupted cargo flows in a region already grappling with broader security threats.
May 19, 2025 | Logistics

Top Trending

Supply Chain

$item['leaders']['alt']

Anand Dhabu

India Business Head for Super sonic India & Head Global SCM & Procurement, Assudamal & Sons (HK) Limited
$item['leaders']['alt']

Anupam Shrotary

Head of Supply Chain India and South East Asia, Kimberly Clark
$item['leaders']['alt']

Ritesh Kumar

Co-Founder & CEO, TranZact
$item['leaders']['alt']

Vijay Kumar Jadhav

Program Manager: SCM & Facilities Excellence, Eaton

Journal of Supply Chain Events

Sponsor an Event

Increase your brand visibility and thought leadership in Industry

Speak at an Exclusive Event

Speak at JOSC events and engage your target audience

Exhibit at an Event

Showcase your product to industry influencers and CXOs

Attend an Exclusive Event

Attend JOSC events and maximize your networking

logo

Subscribe to Our Newsletter

The week’s best stories, handpicked by JOSC editors in your inbox every week.

Stay informed with exclusive content