KOCHI: The drawn-out war in West Asia has hit Keralam’s export sector hard with high freight charges and logistical issues leading to a steep drop in trade volume. According to The Cochin Chamber of Commerce and Industry, exports from Kochi port recorded a 10.4% decline while imports fell 35.9% between January and August. In numbers, the exports fell to 9.54 lakh metric tonnes (MTs) from 10.65 lakh MTs in the corresponding period in 2025. Imports dropped from 14.15 lakh MTs to 9.07 lakh MTs.
“The US and China continue to be top export destinations, accounting for 31.7% of total volume. Exports to the US declined by 20.5%; for China, the drop was only 4.6%. However, exports to the UAE have dropped 78.8%, hitting exporters hard.
The reason for loss of trade is the blockade of major trade arteries like the Strait of Hormuz and Red Sea due to the West Asia war. The punitive tariff issues in the US have also created uncertainty in the market,” said chamber president Bibu B Punnooran. Key commodities, including coir, food products, marine products, spices and tea, saw drop in exports. Export of coir products declined by 2% and of food products by 20.2%.
China emerged as the largest source for imports, accounting for 17.9% of total volume at 1.62 lakh MTs. This is still a 22.8% decline from the January-August period in 2025. The US moved up from fifth position to second while the UAE, which ranked first in 2025, slipped to fourth place.
Seafood exports, meanwhile, jumped 13% between April and September, according to data from the Ministry of Commerce. Its export revenue rose from $3.9 billion in April-September 2025 to $4.5 billion this year.
“There was only a marginal increase in the export revenue of traditional items like frozen shrimp. A major chunk of the income came from the export of fishmeal and fish oil due to global shortage, which has driven up prices.
The US, European Union and China markets have been steady despite the threat of high tariff stirred up by the Lindsey O Graham Act passed by the US. Meanwhile, buyers in the US are refraining from long-term contracts due to the uncertainty. Margins have been low due to high freight charges and market issues,” said Seafood Exporters Association CEO K N Raghavan.