More ships carrying grain were diverted from the Suez Canal to sailings around the Cape of Good Hope this week after attacks on vessels in the Red Sea, shipping analysts said on Friday.
“Another 16 vessels were confirmed diverted this week, taking the total grain cargoes diverted to some 3.9 million tons, up from 3.0 million tons last week, said Ishan Bhanu, lead agricultural commodities analyst at data provider and analysts Kpler.
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About 7 million metric tons of grain cargoes normally transit the Suez Canal into the Red Sea each month.
Continued attacks on shipping by Iran-aligned Houthi militia despite U.S.-led air strikes on the group’s positions in Yemen mean more bulk carriers transporting grain are avoiding the Red Sea.
The Houthis, who control much of Yemen, have launched drone and missile attacks on ships in solidarity with Palestinians in Gaza. The Houthis say they have been targeting vessels that had Israeli links or had been sailing to Israel.
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“Many of the diverted ships are carrying U.S. grain cargoes showing caution with this freight,” Bhanu said.
“One ship which sailed from the U.S. Gulf for China actually transited the Suez Canal southbound but stopped south of Suez for 11 days before heading north again and transiting the canal northbound, then sailing past Gibraltar.”
However, substantial numbers of grain vessels are still sailing through the Red Sea, Bhanu said.
He estimated that some 2.4 million tons of grain will transit the Suez Canal in January compared with 6.6 million tons in December 2023 and 6.4 million tons in January 2023.
“Ships previously chartered are often sailing through the Red Sea but it is increasingly hard to book vessels for new cargoes,” said a German grain trader. “It is obvious that the air strikes are not going to quickly stop the attacks.”
