Key shipping and petroleum sector stakeholders flagged concerns over disruption to crude and liquified petroleum gas (LPG) vessel flows in a meeting with Shipping Secretary Vijay Kumar, sources told NDTV Profit on Friday.
The stakeholders, including Hindustan Petroleum Corporation Ltd. (HPCL), Reliance Industries Ltd. (RIL), and Steel Authority of India Ltd. (SAIL), warned of inventory challenges if maritime flows remain impacted, the persons privy to the matter said.
While HPCL flagged limited inventory, RIL sought easing of licensing norms to help source Russian cargo, they added. This development comes after the United States granted a one-month reprieve to India, allowing the inflow of Russian crude oil imports stranded due to the Middle East conflict.
The stakeholders highlighted a multifold spike in freight rates due to surging insurance premiums, while calling for waiver of detention charges for custom-cleared goods that are stuck at ports.
The exporters also cited piracy risks and the need for war-risk cover for ships operating in the Gulf region, the persons added.
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India's top shipping body, the Directorate General of Shipping, will meet exporters at 11:30 AM on Monday.
The Centre has urged stakeholders to prioritise national interests over commercial interests, the sources said, while adding that the government will issue uniform instructions to major Indian ports on assisting Indian cargo ships.
Also, the Department of Financial Services has met with insurance and reinsurance companies on the surge in premiums. The government has guided that premiums for Export Credit Guarantee Corporation (ECGC) should not be increased, the sources added.
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