Recent attacks on commercial vessels, which have resulted in the deaths of seafarers, are significantly affecting recruitment and driving up costs for shipping companies, according to SV Anchan, chairman of Safesea Shipping in New Jersey. The company’s oil tanker, Safesea Vishnu, was targeted in Iraqi waters in March, leading to the death of an Indian seafarer. In response to escalating tensions between the U.S. and Iran, India has instructed shipping firms and recruitment agencies to suspend the deployment of Indian sailors to the Gulf region.
Anchan noted that the heightened risks are already discouraging potential entrants to the shipping industry. India’s Ministry of External Affairs has formally protested to Iran regarding the recent killing of the Indian seafarer. Additionally, Anchan highlighted that the cost of ensuring seafarer safety has surged due to increased insurance premiums. Shipowners must now obtain specialized coverage that comes at a steep price.
The ongoing attacks in the Strait of Hormuz have also adversely impacted the maritime market, particularly in buying and selling ships. Anchan expressed that the industry is currently in a state of uncertainty, with stakeholders awaiting stabilization before making significant decisions.
