Problems for Fruit and Veggies Exporter as freight rates rise due to Jet Airways suspension. 

Jet Airways was grounded on 18th April thoroughly. This put Veggies and Fruit exporters in trouble as the other airlines increased their freight rates. Jet Airways was the highest capacity cargo service. 50% of veggies and fruits exports was with Jet Airways from Mumbai to Europe. Emirates Airways is the second largest capable cargo service with 30% but this is not enough to export all the veggies. 

Jet Airways Suspension

Exporters were exporting most of fresh veggies and fruits to London, Amsterdam, Paris and Singapore with Jet Airways. This shutdown affected all the fresh vegetable export, especially to the UK. Jet Airways had flown 50 tonnes of produce operating three flights daily to London. Total value in 2018 was ₹232 crores for fresh fruit and ₹212 crores for fresh vegetables to London.

Other airlines increased freight rates by 25-30%, which had to increase by 5% every year from April to June during the Mango Season. Now exporters are paying around ₹100/kg which was ₹75 to ₹80 per kg last year. Less capacity is impacting the export volume of produce. Exporters are not able to fulfil the bound volume of fresh veggies and fresh fruits on time. The impact can be long if the situation continues like this. 

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