Strait of Hormuz closure deals severe below to Indian carpet industry
New Delhi: The closure of the Strait of Hormuz due to the ongoing war in the Middle East has triggered a serious crisis for millions of workers associated with India’s carpet industry.
According to Kashmir Media Service, Aslam Mehboob, Vice President of the Carpet Export Promotion Council (CEPC), told the media that the conflict between the United States, Israel, and Iran is hitting the global economy hard. The blockade has caused transportation costs to soar, sharply raising production cost for carpets.
The disruption has also affected the supply of wool from countries like New Zealand, vital for carpet manufacturing. Mehboob noted that the United States is the largest importer of Indian carpets, receiving 50–60% of India’s total carpet production.
He added that the war has triggered signs of a recession in the US, prompting buyers to hold back on luxury carpet purchases, which directly impacts India’s carpet exports. Mehboob said 30–40% of carpets are either stuck in transit or lying in port warehouses, while exports to Switzerland, the United Kingdom, France, Germany, and Gulf countries have also suffered significantly.
