Exporters across India and Bangladesh are facing a difficult combination of strong demand, restricted vessel space, equipment shortages and weather-related disruption, with pressure particularly acute on westbound services to Europe and North America.
Although the underlying causes vary between the two markets, the consequences are similar. Shippers are competing harder for vessel allocations, paying significantly more for available capacity and allowing additional time for cargo to reach its destination.
The situation also illustrates a wider shift in global supply chains. Extreme weather is increasingly interacting with existing capacity constraints, port congestion and geopolitical disruption, turning what might once have been relatively isolated events into much broader operational problems.
Bangladesh loses capacity as carriers prioritise stronger markets
Bangladesh exporters are experiencing a sharp reduction in available ocean capacity as carriers allocate more vessel space and equipment towards China ahead of Golden Week.
One carrier indicated that its Bangladesh booking allocation had fallen from around 2,000 containers to 1,500, a 25% reduction. Equipment is also being repositioned towards China, leaving exporters from Chattogram competing for fewer containers and mother-vessel slots.
Bangladesh is particularly exposed because most exports do not move directly to Europe or North America. Containers typically travel by feeder to hubs including Colombo, Port Klang and Singapore before connecting with larger vessels. When capacity tightens at these transhipment points, Bangladesh allocations can quickly come under pressure.
Continuing Middle East disruption is adding to the problem. Longer vessel rotations around the Cape of Good Hope are absorbing capacity, with Asia–Europe rates reported to be 25% to 40% higher and Asia–US East Coast rates 15% to 25% higher.
For Bangladesh exporters, the increases have been considerably greater. Chattogram–US freight has risen by nearly 130% in a month, while reported pricing to Hamburg has increased by around 140%.
Some shipment bookings are also facing an additional two to three weeks in lead time. Businesses operating under Delivered Duty Paid terms have the greatest immediate financial exposure, although FOB exporters still face the commercial consequences of restricted capacity and delayed deliveries.
Airfreight offers an alternative for urgent cargo, but capacity from Dhaka is also tightening. Europe-bound shipments face particularly strong demand, making early booking and selective use of airfreight increasingly important for protecting critical delivery dates.
India–Europe demand pushes vessel space to a premium
India’s westbound market is experiencing its own capacity squeeze as export demand strengthens faster than available vessel space.
Indian containerised exports to Europe reached an estimated 518,000 TEU during the first half of 2026, while some key carrier services are already fully allocated through August and, on selected sailings, into early September.
Spot freight rates from Nhava Sheva and Mundra to major UK and European gateways have increased by approximately 10% to 15% since late July, reaching their highest levels in around four years. With guaranteed space increasingly valuable, shippers are also facing premiums where they need firm allocations.
Part of the constraint reflects carrier network decisions, including the reallocation of some India–Europe capacity towards growing Latin American flows. Blank sailings, rolled cargo and fluctuating allocations are adding further pressure.
But operational disruption at India’s major gateways is also playing an important role. Congestion at Nhava Sheva and Mundra has reduced vessel productivity and complicated cargo flows, while active monsoon conditions create further uncertainty for port operations and inland road and rail connections.
That matters because weather disruption is increasingly becoming an interconnected supply chain risk rather than simply a temporary port problem. Across Asia, tropical storms and extreme rainfall are affecting manufacturing, inland transport, terminals and vessel schedules simultaneously. A disruption at origin can then propagate through subsequent port calls and connections long after local conditions improve.
For exporters in India and Bangladesh, that combination makes early planning increasingly important. Securing space, allowing realistic lead times and retaining flexibility over gateways, routings and transport modes can provide valuable protection when capacity tightens or weather interrupts established schedules.
Metro combines extensive operations in India and Bangladesh give shippers more options when ocean capacity becomes constrained. From securing vessel space and monitoring equipment availability to alternative routings, airfreight and air/sea solutions, we can identify pressure points early and build the flexibility your supply chain needs to keep critical cargo moving.
When capacity is scarce and disruption can develop quickly, talk to Metro before your shipment becomes urgent. EMAIL Managing Director Andrew Smith today
