Red Sea Threat Is Growing
- Due to increased security concerns in the Red Sea and Panama Canal, goods were rerouted through the Cape of Good Hope. This resulted in delayed sailings and a notable increase in freight charges to Europe.
What Effects Do the Above Issues Have on India?
Effect on Commodities in Agriculture:
- Exporters of vital goods like tea and basmati rice are worried about the disruptions to this important trading route.
- If the Red Sea route is disrupted, shipping through the Cape of Good Hope could result in a 10–20% increase in the price of Indian agricultural products.
- Effect on the Trade in Petroleum and Oil:
- India’s reliance on Russian oil—which is seen as Iran’s ally—has not changed despite the Red Sea crisis.
More Expensive Export to the US:
- While the 100-year-old Panama Canal connects the Atlantic and Pacific Oceans and is not a very practical alternative for India, the Bab-el-Mandeb Strait leads to the Suez Canal in the Red Sea region, connecting Asia to Europe.
Which elements play a part in the current crisis?
Issues with Contemporary Weaponry:
- The employment of cutting-edge weapons calls into question the efficacy of international defence cooperation, giving rise to worries about trade disruption and assertions of high interoperability.
Modification of Piracy Methods:
- Like with previous piracy issues, rebels have been able to adapt to modern technologies due to the tardiness of international reactions.
- The ‘High-Risk Area’ has been expanded, strategies including hijacking ships and using them as mother ships have been employed, and the maritime traffic has been impacted by rerouting and higher insurance costs.
State Assistance in the Spread of Missiles:
- Concerns regarding the proliferation of missile technology are raised by the Houthi rebels’ use of drones and Anti-Ship Ballistic Missiles (ASBMS), as well as possible state help from China and Iran.
- The problem is made more complex by the direct or indirect connection to China for the supply of ASBMS.
Sluggish Reaction to Prosperity Guardian Operation:
- There are concerns regarding the United States’ capacity to lead global cooperative institutions given the independence with which NATO allies like France, Italy, and Spain conduct their affairs.
The UAE and Saudi Arabia’s Absence from the Event:
- Complexities are revealed by Saudi Arabia’s withdrawal from the operation, which was probably done to prevent bad effects on Yemeni discussions and relations with Iran.
- Maybe the UAE is reluctant because they don’t want to be seen as supporting Israel.
- India functions independently even though it is a full member; this may be because of its ties to Iran.
International Maritime Security Division:
- The failure of Operation Prosperity Guardian to operate as a coalition reveals differences among like-minded countries that uphold the freedom of navigation guaranteed by the United Nations Convention on the Law of the Sea (UNCLOS).
What Steps Can India Take to Lessen Its Vulnerability to These Problems?
- Joint Maritime Security Initiative: Offer a cooperative security framework that includes intelligence sharing, coordinated patrols, and joint drills with major Red Sea parties (Egypt, Saudi Arabia, UAE, Yemen).
- Install integrated radar and drone surveillance systems along India’s western coastline to improve early threat detection and response capabilities. This is an example of how to deploy advanced surveillance systems.
- Negotiate Preferential Access: Speak with Panama Canal authorities about possible toll reductions for particular routes or preferential transit for Indian vessels.
- Alternative Trade Routes Being Examined: The Ben Gurion Canal Project, a 160-mile sea-level canal that would connect the Mediterranean Sea with the Gulf of Aqaba and avoid the Suez Canal, has recently regained attention.
- This action is taken in spite of the fact that Saudi Arabia warned of the Houthi threat and the group was previously taken off the US terror list. India can work with other like-minded nations to fend off these challenges.
- Methodical and Cooperative Approach: The Houthi rebels challenge US domination in the world and take advantage of national divisions. As with anti-piracy measures, tackling the weapon supply becomes critical.
- Because of the differences in the situation in Yemen, measures must be carefully considered in order to preserve stability and avoid a state-on-state conflict.
- Preventing Yemen from Become a Battleground: It is imperative to establish a feasible final state by impeding the Houthis’ emergence as a legitimate state actor. This underscores the need of avoiding Yemen from becoming another Lebanon.
- Encouraging Export Credit: The MoCI has directed DFS to guarantee a steady flow of credit to exporters, since they are worried about the halt on shipments because of exorbitant freight and surcharges.
- Preserving Buffer Stocks: The Ministry of Chemicals and Fertilisers promised that Red Sea tensions wouldn’t cause India to run out of fertiliser.
- It said that the nation has enough supplies to satisfy the needs of the next kharif season.