Egypt has been supplying dates to Indonesia, a country with the largest Muslim population in the world for quite some time now. However, the 2023/24 season has been characterized by a drastic change especially because of the Red Sea blockade by Yemen’s Houthi forces. This blockade has affected the trade channels in a way that has seen a decline in the exportation of Egyptian dates to Indonesia.
Effect of the Red Sea Blockade
The main reason for the decrease in the export of dates from Egypt to Indonesia is the Red Sea closure. During the period of July 2023 to March 2024, Indonesia imported dates from Egypt in an amount of nearly 14,500 tons, which is less by more than a quarter compared to the previous season. The blockade has resulted in the escalation of attacks on non-military ships and especially affected the trade in December 2023 and reached its lowest level in January 2024.
Egyptian Exporters: Current Status
However, the findings show that Egyptian date suppliers continue to supply Indonesia with dates even after a decline in exports. However, the fact that the supply of Egyptian dates is nearly nonexistent in April and May 2024 is not a good sign for exporters. Comparing this season to previous ones shows that geopolitical tensions negatively affect trade most of the time.
Indonesia’s Date Import Trends
Indonesia consumes approximately 50 000 to 60 000 tons of dates per season, making it the eighth largest importer in the world. Importation usually rises in October and peaks in the period between January and March. This season, however, has seen fluctuations due to some factors such as the blockade that affected the overall performance.
Performance of Other Exporting Countries
Saudi Arabia and the UAE have benefited from this situation, where Saudi Arabia has sold more than the volume of the previous season in the current season in the first nine months alone. Tunisia and Iran are also other important competitors in the market. These performances depict the competition that Egyptian exporters are bound to encounter in these countries.
Conclusion
This paper will discuss how the Red Sea blockade has impacted Egypt’s date export to Indonesia and the difficulties faced by Egyptian suppliers. Egypt still holds the first place in the supplier rankings, but the future might call for some strategic changes to counterbalance geopolitical shifts and remain relevant.
