BENGALURU: The West Asia conflict, which has affected the global economy for months, has significantly impacted India’s marble imports. Prominent Bengaluru-based importers cite the closure of the Strait of Hormuz, a critical trade route, as the cause of increased costs.
With the Middle East now becoming an unfeasible source for importing materials, importers have already started looking elsewhere. Sri Lanka, Vietnam, Japan and Australia have emerged as the top sources for Jain. Reddy added that imports from countries in Europe and Asia have already filled in the void left by the Middle East.
“The impact is severe primarily due to disruptions in global supply chains and a sharp rise in ocean freight costs. The Indian stone industry relies mainly on China-based supply chains for many essential raw materials and machinery components. For instance, the resin used in manufacturing quartz stone slabs is largely imported from China, and its prices have nearly doubled due to supply disruptions,” said Rishabh Jain, director of international business at Petros Stone LLP.
Jain added that before the conflict began, “the freight cost for a stone container was approximately USD 500. It has now increased to nearly USD 5,000”.
For Anand Reddy MG, the founder and CEO of HMG Stones, however, the closure of the strait did not affect imports as much. “For the materials that are shipped from the Middle East, like marble, travertine and onyx from Oman, Iran, Afghanistan and the United Arab Emirates (UAE), the closure has affected business. But for materials from other parts of the world, we use the Suez Canal and Africa’s Cape of Good Hope as trade routes,” Reddy said.
