Indian fuel supplies to Europe avoid the Red Sea

Most fuel tankers coming from the world’s largest refining complex, run by Reliance Industries of India, are sailing through the Cape of Good Hope to avoid passing through the Red Sea, shipping industry sources and ship tracking data said.

According to Reuters, the Houthi group’s attacks on ships prompted many shipping companies to divert their ships south around Africa, even though the Red Sea and the Suez Canal are the shortest route between Asia and Europe.

Sources in the shipping sector said that Reliance offers in leasing contracts with tanker owners the flexibility to sail via any route, but added that most owners choose the route around Africa.

Data from the London Stock Exchange Group (LSEG) showed that at least eight tankers have taken the Cape of Good Hope route since mid-February to supply Europe with jet fuel and diesel.

Previously, all tankers carrying fuel from Reliance Industries passed through the Red Sea.