India Port Volumes Rise 7% In August As Global Freight Rates Surge 132%

India’s port volumes rose 7 per cent year-on-year in August 2026, even as global container freight rates surged 132 per cent from February levels, according to a Jefferies report. The latest data comes as the prolonged Middle East conflict and disruption around the Strait of Hormuz continue to push up shipping, fuel and insurance costs.

Jefferies attributed the sharp increase in freight rates to Middle East tensions, early peak-season shipments and front-loading ahead of China’s Golden Week. Government-owned Major Ports led the growth, with volumes rising 10 per cent YoY in August, while Non-Major Ports recorded an 11 per cent increase.

Port activity remained stronger than rail freight. Container volumes at Indian ports rose 10 per cent YoY in August, while Indian Railways container volumes declined 3 per cent, which Jefferies linked partly to disruptions caused by Middle East tensions. The brokerage said transshipment activity may also have supported container traffic at Indian ports.

Among major cargo categories, iron ore volumes jumped 30 per cent, container volumes increased 10 per cent and coal throughput rose 6 per cent. Adani Ports reported a 19 per cent YoY increase in August volumes, with domestic operations estimated to have grown 10 per cent. The company separately reported a record 50 million tonnes of cargo in August, up 19 per cent YoY.

Performance across Non-Major Ports was mixed. Odisha recorded a 39 per cent rise in volumes, Gujarat grew 3 per cent and Maharashtra recovered with an 8 per cent increase after declining in the previous period. India’s export-import trade also rose 18 per cent YoY in August, while containerisable trade, excluding petroleum, oil, lubricants, gems and jewellery, increased 21 per cent. Exports rose 23 per cent and imports 20 per cent.

Exports to the US increased 22 per cent YoY, while shipments to the UAE and Saudi Arabia fell between 17 per cent and 26 per cent. Road logistics remained firm in early September, with freight tariffs rising 2 per cent month-on-month and medium and heavy commercial vehicle registrations increasing 40 per cent YoY so far in September.

The shipping-cost pressure has intensified since the Jefferies data was compiled. India’s ocean freight bill is edging towards $100 billion, according to a September 22 report, as the disruption around the Strait of Hormuz pushes tanker rates, insurance and delivered crude costs higher. A very large crude carrier route from the Middle East Gulf to China, relevant to Indian crude trade, fetched about $1.2 million a day on September 18.

Container rates are also approaching extreme levels on some routes. Reuters reported that China-US East Coast spot rates reached $10,948 per 40-foot container, more than four times their pre-war level and close to the pandemic-era record of $11,900. Industry analysts said another increase could come as shippers rush cargo ahead of China’s Golden Week.