AEPC seeks waiver of demurrage as West Asia crisis strands export cargo.
Airspace closures and diversions disrupt garment shipments across airports.
Delhi airport sees major delays; over 100 international flights cancelled.
Airlines including IndiGo and Air India suspend or cut Middle East routes.
Indian Apparel Sector Hit by West Asia Conflict; Exporters Seek Demurrage Waiver
Under existing rules, cargo terminal operators levy demurrage when goods remain in terminals beyond the permitted free period
freepik
Summary
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India's garment export industry is feeling the squeeze from an unexpected quarter — the skies above West Asia. With the Iran–US crisis throwing international aviation into disarray, the Apparel Export Promotion Council (AEPC) has stepped in to bat for exporters, urging the Ministry of Civil Aviation to waive demurrage charges piling up on cargo stranded at Indian airports.
In a letter dated 2 March 2026, AEPC Chairman A. Sakthivel wrote to the Civil Aviation Secretary, highlighting the impact of the Iran–US crisis on global aviation routes. He said the situation has led to airspace closures, diversions, route restrictions and irregular flight schedules, which in turn have affected the movement of export consignments from India.
According to the representation, cargo meant for international destinations is currently stranded at multiple airport terminals because of operational constraints at foreign and Indian airports.
Sakthivel noted that exporters, freight forwarders and cargo handlers have no control over these delays, which are the result of external and unexpected geopolitical developments.
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Under existing rules, cargo terminal operators levy demurrage when goods remain in terminals beyond the permitted free period. He argued that applying these charges in the current circumstances would impose additional costs on exporters already facing delays and uncertainty in meeting shipment commitments.
He has requested the Directorate General of Civil Aviation to issue instructions directing cargo terminal operators to waive demurrage fees for consignments affected by flight disruptions, airspace restrictions and other limitations stemming from the ongoing crisis. Such a step, he said, would ease the financial strain on exporters and help maintain stability in India’s air-cargo trade during the period of disruption.
Airport Crisis
Airport operator, Delhi International Airport, issued an advisory at 3 PM today that due to ongoing “Due to the ongoing political developments in Middle East [West Asia], westbound International flights may face delays or schedule adjustments.”
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IndiGo has cancelled nearly 200 flights on March 2 amid the rising tensions.
"In view of the continuing situation in the Middle East, Air India has extended the suspension of all flights to and from the UAE, Saudi Arabia, Israel, and Qatar until 2359 hrs IST on 2 March 2026," Air India posted on X.
According to Hindustan Times, at least 100 international flights — 62 departures and 42 arrivals — stood cancelled at Delhi’s Indira Gandhi International (IGIA) airport on Sunday amid the conflict in West Asia.