India’s largest private port operator, the ports business of Adani Group, has directed its facilities to deny entry, berthing and services to vessels subject to sanctions imposed by the United States, the United Kingdom or the European Union.
According to internal advisories circulated on September 11 and cited by trade press, the instructions apply to “all ship owners, operators, charterers, consignees, consignors, agents and port users.”
The orders also require vessel agents to provide a written undertaking at the time of nomination that a ship is not sanctioned. A local notice at Krishnapatnam Port stated explicitly that “no sanctioned vessel will be permitted to enter, berth, or use Port services.”
Adani has not released a public press statement on the policy, though Indian business newspapers reported that a company spokesperson confirmed the move without giving further detail.
Analysts quoted in Indian media said the measure is unlikely to significantly reduce Russian oil shipments to India, since refiners usually avoid sanctioned vessels and many use their own captive jetties. “I don’t expect any of them … to flout [sanctions] and use the services of sanctioned vessels anyway,” said Prashant Vasisht, senior vice-president at ratings agency ICRA.
Recent U.S. and European measures have added sanctioned ships and entities, including tankers linked to Iran that have also carried Russian oil. Separately, India’s Directorate General of Shipping last week issued a draft circular blacklisting 86 vessels for seafarer abandonment and welfare violations. That move was unrelated to sanctions but indicated tighter oversight of shipping activity.
The policy emerges against a geopolitical backdrop in which the United States has been pressing allies to intensify economic pressure linked to Russian energy. Washington intends to ask G7 finance ministers to consider tariffs of 50 to 100 percent on imports by India and China tied to Russian oil. In late August, the United States also imposed an additional 25-point surcharge on Indian imports, raising effective tariffs on many goods to as high as 50 percent.
Adani Ports and Special Economic Zone Limited (APSEZ) is a publicly listed Indian company incorporated under the Companies Act of India. It develops, owns and operates ports, terminals and related infrastructure in India and abroad. The company is regulated by Indian corporate law and securities rules and is part of the Adani Group conglomerate.