By Ruma Dubey

The waters of Iran, which saw small ripples, is all set of witness a storm. Shipping and logistic companies around the world are setting sail to Iran, a place which had been out of bounds for so long. With the lifting of sanctions, Iran is the place to head!

For the first time since 2012, the world’s second largest shipping line by volume - Mediterranean Shipping Co. SA sailed into the Iran port – it carried a huge load of 300 containers full of food and agricultural produce.

Those in the region, monitoring the logistics sector say that container goods to Iran will be the next big thing. Most shipping companies around the world will leverage on this new region opening up.

At the moment, goods meant for Iran dock into UAE or Oman and from there, goods are dispatched to Iran on small vessels. Currently, all are happy with this arrangement which has been in place for years but this will change now, gradually.

Global shipping giant, Maersk is eying Iran big time too. They haven’t shipping anything to Iran for the past 10 years and officials of the company are said to be making hectic visits to Iran in recent days.

In Iran, the dominant shipping company, which is owned by the Govt is Islamic Republic of Iran Shipping Lines, or IRISL. It is also in an expansion mode after years. It plans to add 5,79,000 TEUs capacity by 2020.

So where does India fall into all this, given the good relations we have with Iran? Shipping and logistic companies are excited about a new market opening up, given the low business volumes in China and Europe. In fact IRISL has revived its JV - Irano Hind Shipping Company, with Shipping Corporation of India (SCI). Thus the first big beneficiary will be SCI.

Great Eastern Shipping will also stand to gain – it has as such been importing oil from Iran for years now. With Iran now opening up, it would mean more imports from India too. Allcargo Logistics which is yet to resume operations will Iran is expected to do so soon; Aegis and Gati could be the other gainers.

India is also helping Iran develop a new port at Chabahar. This will give Indian shipping companies access to the oil and gas resources in Iran and the Central Asian states. More importantly, its exports to eastern Europe and Central Asia will not require the transit of the Suez Canal.

Kudremukh Iron Ore Company, a PSU, two days ago, made a shipment of iron ore pellets to Iran under the Centre’s ‘Make In India’ concept. Some 66,500 tonnes of iron ore pellets were flagged off at New Mangalore Port on Saturday. The PSU is targeting to export 0.5 million tonnes of pellets during the year to Iran.

The President of Federation of Indian Export Organizations said that resumption of exports to Iran, mainly of agricultural commodities wil help boost exports by 36% to $6 billion this year.

Particular gainer will be high-quality basmati rice – sales to Iran is expected to rise to one million tons this year. Sugar companies will also be a gainer as freight advantages due to proximity will make it sweeter to export to Iran.

On the other hand, consumer goods, cars and other white goods could see some of their business shifting to other countries – those who will date were not exporting to Iran.

Thus all in all, it will mean good tidings in the coming months. Iran is today a huge, new business opportunity.