West Asia crisis disrupting trade, supply chains across sectors in India: Report

The prolonged geopolitical crisis in West Asia is creating deep disruptions across multiple Indian sectors, impacting trade routes, supply chains, logistics networks and investment sentiment, according to a new report released by consulting firm Primus Partners.

The report titled ‘Impact of the West Asia Crisis on Indian Sectors’, said that the crisis is extending well beyond crude oil price volatility and is instead driving structural shifts in global trade and economic behaviour.

It added that the automotive sector is facing intensified supply chain disruptions and longer shipping timelines and rising logistics costs, along with renewed pressure on the availability of fuel, gas, semiconductors and polymers.

These developments could accelerate India’s shift towards electric mobility, alternative fuels and domestic sourcing, while also pushing the industry to strengthen coordination and supply chain resilience mechanisms.

“The ongoing crisis extends far beyond rising crude oil prices and short-term market volatility. It is fundamentally altering global trade routes, capital flows, supply chains, logistics networks, and investment behaviour,” the report noted.

It said that India’s agriculture sector has emerged among the most immediately impacted, with disruptions affecting Basmati rice exports, fruit shipments, fertiliser availability and farm-level cash cycles.