Kenya Ships Agents Association (KSAA) on Wednesday said importers should expect higher charges from this week as stakeholders assess the increasing insecurity from Yemen Houthis’ claim of fresh Red Sea attacks on British and American ships.

KSAA Chief Executive Officer Juma Ali Tellah said shippers are concerned about the escalating conflict along the Red Sea route, and its potential repercussions on the business community and consumers in East Africa.

The worry was always expected to bring a new burden. But the actual cost increment wasn’t known since December when Houthis first fired the first missile.

“Despite efforts to normalise freight rates following events such as the Covid-19 pandemic and the Russia-Ukraine War, the ongoing attacks by Houthi Rebels present a persistent challenge.”

“Major shipping lines, including those represented by KSAA, are responding by rerouting vessels around the Cape of Good Hope, a costly alternative that directly impacts the business community and consumers in East Africa,” said Mr Tellah.

He added, “The rerouting of ships will result in longer shipping distances, causing an upward surge in freight rates and disturbances in the supply chain. Delays in the smooth movement of goods are expected due to extended transit routes.”

Mr Tellah also said the attacks will have long term effects to the freight business considering the delay in reshipment of empty containers.

“We have experienced reduction of ships leading to a reduction in ships’ capacity and a reduction in container availability, along with a potential for an increase in insurance costs and liability for ship owners and insurers,” Tellah said.

The Red Sea has remained a biggest worry by shippers resulting to the rerouting of vessels to take a longest route via Southern of Africa while some vessels are attempting to mask their positions by pinging on other locations, as a safety precaution when entering the Yemen Coastline.