A key concern for dairy producers and processors is the potential impact on perishable chilled exports bound for markets in the Gulf Cooperation Council (GCC) countries. Nearly all exports to nations like Saudi Arabia, Kuwait, Oman, Qatar and the UAE travel via Hormuz, and shipments stuck on trade lanes could face congestion, delays and elevated costs in alternative ports such as Jeddah and Sohar.

Handling firms like Kotahi, co-owned by major exporters including Fonterra and Silver Fern Farms, report they currently have around 4,000 TEU (twenty-foot equivalent units) of cargo on the affected route and are actively working with carriers, customers and logistics partners to explore contingency plans and rerouting options. These efforts aim to manage both direct transit challenges and broader supply chain stability.

Industry bodies advise exporters to enhance communication with logistics providers and customers, while also considering inventory strategies to mitigate risk. Export New Zealand stressed the importance of resilience planning — a lesson underscored by recent global disruptions like COVID-19 — and noted that uncertainties remain high, with ongoing risks to both sea and air freight networks as geopolitical volatility persists.