Antaq survey of cabotage users signals need for improvements

Antaq, Brazil’s waterways authority, conducted a survey between September and October 2019, where it asked 44 medium to large Brazilian companies that used cabotage services during the previous 12 months about their experience. The aim of the survey was to quantify the actual usage of cabotage services, as well as to identify possible bottlenecks in the system and what would be the necessary conditions to increase usage of cabotage services.

The survey results pointed to a high level of utilization of the container fleet used in cabotage navigation, a level that reached 76.2% in August 2018.

For 73% of respondents the container free time or demurrage value was a problem. Port omission was reported by 66% of respondents, while overbooking reached 56% of those surveyed. About 46% of companies pointed to late delivery or unreliable deadlines.

When asked about the necessary conditions to bring about an increased use of cabotage, respondents answered that improving reliability of deadlines was second only to reducing freight rates.

The results are only part of the study, developed by the Development and Studies Management – GDE of the Performance, Development and Sustainability Superintendence – SDS, which aims to hear regulatory options to help increase competition in container shipping cabotage services. The full results of the survey will be available soon on the Antaq website.

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