Houthi attacks: a threat to global shipping?
- Recently, the Red Sea crisis extended to Indian waters with the attack on the Liberian-flagged vessel Chem Pluto.
- This comes in the backdrop of a sharp rise in missile and drone attacks on commercial shipping in the Red Sea.
Chem Pluto Incident
- The Chem Pluto, en route to Mangalore port, was hit by a projectile outside the Indian Exclusive Economic Zone.
- Despite the attack, the vessel reached Mumbai under Indian Coast Guard escort.
- Initial assessments suggest a drone attack, prompting further forensic analysis.
Additional Attacks
- The Gabon-flagged m.v. Sai Baba also reported a drone attack in the Southern Red Sea.
- The twin attacks last weekend, on m.v. Sai Baba and Norwegian-flagged m. v. BLAAMANEN, represents the 14th and 15th attacks on commercial shipping by Houthi militants since October 17.
Impact on India and Global Trade
- The escalating attacks pose a serious threat that can potentially disrupt supply chains and impact economics.
- The Red Sea is a key shipping artery for global commerce and the Bab el-Mandeb is a critical choke point.
- About 12% of global trade traverses the Red Sea.
- The recent attacks prompt major shipping companies to consider longer routes, impacting fuel, operating costs and schedules.
Global Response
- The US announced Operation Prosperity Guardian to secure the Red Sea.
- India's Navy and Coast Guard have increased surveillance, with the deployment of destroyers, patrol aircraft, unmanned aerial vehicles and Coast Guard ships.
- The Indian Navy's Information Fusion Centre is actively monitoring the situation, coordinating operational responses and assistance in the Indian Ocean Region.
- Heightened security concerns led to a shift in transit routes, with some ships avoiding the Red Sea.
- This strategic change has implications for the Suez Canal's revenue and operational dynamics of ports in Djibouti and the Gulf of Aden.
Remaining Challenges
- Challenges remain, including the potential impact on Indian sailors, vessels, and cargo.
- Concerns arise about how countries, including India, would respond to major attacks affecting lives or cargo.
- Additionally, a shock to global economies in terms of delays and price rises due to the regional crisis is looming on the horizon.