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Yemeni ports face shipping fee hike amid Iran conflict

YEMEN – A reported decision to impose thousands of dollars in fees on shipping headed for Yemen has experts worried that the price of...

Times of Suriname

imported goods and food will increase in the war-torn country, as it starts to feel the economic impact of the United States and Israel’s conflict with Iran.

 Local traders and officials have said that international shipping companies informed importers earlier this month of the imposition of new fees of about $3,000 on each container bound for Yemen, described as “war risk” fees. The surprise move prompted government officials to scramble to assess and address its potential repercussions.

 Because Yemen imports nearly 90 percent of its food and other essential commodities, economists and humanitarian organisations warn that the rise in shipping and insurance costs could quickly translate into higher prices for fuel, food and other goods, further worsening an already dire humanitarian situation.

 Mohsen al-Amri, transport minister in Yemen’s internationally-recognised government based in the southern city of Aden, said he had instructed that the fees not be paid by ships already docked at Yemeni ports or those bound for the country, insisting that the ports remain safe.

 “Our ports are far from the areas of geopolitical tension in the Gulf and the Strait of Hormuz, making the imposition of ‘risk’ fees on shipments to these relatively safe areas unjustified from both operational and security perspectives”, he said in a social media post last week. Al Jazeera has reached out to shipping companies to confirm details of the fee, but has yet to receive responses.

 For more than a decade, Yemen has been gripped by a bloody war between the Saudi-backed government, based in Aden, and the Iran-aligned Houthi movement, which controls the capital, Sanaa. The conflict has killed and wounded thousands of people and displaced millions, creating what the United Nations once described as the world’s worst humanitarian crisis. Hostilities have significantly declined since April 2022, when the warring parties agreed to a temporary United Nations-brokered truce.

 Abdulrab al-Khulaqui, deputy chairman of the Yemen Gulf of Aden Ports Corporation, said Yemeni ports have long been classified as high-risk, prompting shipping companies to impose war-risk surcharges. These can reach about $500 per each 20-foot container and $1,000 per each 40-foot container, on top of regular shipping costs. Al-Khulaqui said that the $3,000 fee now being demanded was “very high and unusual”, but was justified by shipping companies because they regard Yemeni ports as unsafe, despite their distance from Iran.

 Although the Houthis are allied to Iran and previously attacked shipping in the Red Sea following Israel’s genocidal war on Gaza, the Yemeni group has yet to intervene in the US-Israel-Iran conflict. Other Yemeni parties are also not involved, making Yemen one of the few regional countries yet to see any violence related to the fighting. (Aljazeera)

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