Traders said the logistics disruption has also hit exports of Indian produce, adding that it has disturbed the timing and seasonality of cold storage operations.
“We hardly have any avocados coming in from Kenya due to high import duty; however, this year, Kenyan avocados meant for Middle Eastern markets landed on Indian ports as the original destination ports were closed,” said Ajay TG, general manager, Westfalia Fruit India, a global avocado supplier.
In April and May, avocados meant for India couldn’t reach its shores as there were hardly any vessels coming in due to the closure of the Strait of Hormuz, sparking a shortage.
The problem is more persistent at ports, said industry executives.
In addition, rising fuel cost is affecting cargo movement within the country, squeezing demand for dry fruits amid a slowdown in consumption in secondary markets such as traditional sweet manufacturing due to higher product prices.
“The consumption in the secondary market, especially dry fruits used in sweets, has slowed down,” said Sumit Saran, director of SS Associates, which imports dry fruits, apples, and avocados.