India-Middle East-Red Sea trade routes are seeing increased capacity from regional feeder carriers, with vessel-sharing agreements and slots shared with NVOs to ensure cargo support. Newcomers like CULines, CStar, and UGL have launched services, despite the higher risks and insurance costs tied to Red Sea routes. CULines' IMR service connects West India to multiple Red Sea ports. Other carriers, including SeaLead and Folk Maritime, are also expanding services. This influx highlights the growing importance of alternative routes, bypassing the Suez Canal amid disruptions.

The Far-Eastern Shipping Company has launched a direct container service to Bangladesh, part of its strategy to enhance shipping links between the Indian subcontinent and Russia. The service, under the Indian Line West route, connects Russia’s Novorossiysk with India’s Nhava Sheva and Mundra ports. The Bangladesh service, introduced in October, will handle transshipment via Colombo before reaching Russia. Initially, Fesco shipped 20 TEUs of empty containers, and future imports will focus on consumer goods and light industry products. Export traffic will include wood products and chemicals.

The ongoing conflict in the Red Sea and Panama Canal has significantly disrupted global trade, causing rising freight costs and strain on shipping routes. Houthi attacks on vessels in the Red Sea, linked to the Israeli-Hamas war, have led to higher insurance premiums and detours around Africa, increasing travel times and fuel consumption. Shipping costs spiked 233% from the previous year. Additionally, low water levels in the Panama Canal are forcing detours across the U.S. and increasing shipping expenses. Experts warn that the situation could worsen, with higher emissions and further price increases.

Maersk has suspended all passage through the Red Sea and Gulf of Aden after one of its vessels, the Maersk Hangzhou, was attacked by Huthi rebels near the Bab al-Mandab Strait. The ship, struck by a missile and subsequently targeted by rebel ships, prompted the company to halt transits until further notice, rerouting vessels around the Cape of Good Hope. The Red Sea, vital for global trade, sees 12% of world commerce pass through, making it a critical link between Europe and Asia. This is the second time Maersk has suspended passage due to Huthi attacks.

The government has initiated a Tk793.72 crore dredging project at Mongla Port’s inner bar to improve navigability and allow larger container vessels to dock at its jetties. Inaugurated by State Minister for Shipping Khalid Mahmud Chowdhury, the project will deepen the channel to accommodate ships with drafts of 9.5 to 10 mtrs, up from the current 7 mtrs. This expansion is expected to reduce turnaround times, lower transport costs, and boost port traffic. The dredging will support Mongla’s role as a vital trade hub and enhance the southwestern economy.