During the conflict in Gaza, ships bound for Israel are now encountering a significant surge in war risk premiums, which have increased by ten times their previous levels. This development has prompted various stakeholders within the industry to urge the government to intervene and ensure the uninterrupted flow of essential imports to the country, Reuters highlights.
he ILO Director-General deplores the unprecedented attacks by Hamas against Israel which resulted in more than 1,400 deaths and at least 200 abductions of Israeli and international civilians.
Israeli forces have launched a series of deadly air strikes followed by a ground offensive on the narrow coastal strip. The situation has raised concerns among experts, who fear that the conflict could potentially escalate and draw in neighbouring countries, engulfing the entire region.
As informed, shipping groups Zim and HMM have said they will pass on a war risk surcharge to customers on shipments to Israel.
In a recent statement, the finance ministry has confirmed that there are no current plans to subsidise the cost of additional war risk premiums. However, they have assured the public that they are actively exploring alternative solutions to ensure vessel owners have adequate insurance coverage.
Furthermore, has been reported that the Ashkelon port, situated in close proximity to Gaza, has been closed. However, it is worth noting that other terminals are still operating at full capacity. Notably, both the Ashdod port in the southern region and the Haifa port in the northern region are being safeguarded by the Iron Dome air defence batteries.
The Marshall Islands registry, one of the world’s top shipping flags, on Tuesday raised its security level for Israeli waters to its highest, which was likely to deter port calls.