Brazil reduced time bottlenecks in logistics, says study
Oct, 23, 2023 Posted by Gabriel MalheirosWeek 202343
A report presented on Friday (20) by Brazil’s Federal Revenue highlights some of the main bottlenecks in Brazil’s product exports. The Cargo Release Time Study reveals that the average time spent on standard exports is 107 hours and 52 minutes.
According to the Minister of Finance, Fernando Haddad, the study conducted in 2023 revealed a promising scenario, with a significant increase in export efficiency. “It found a substantial reduction compared to the roughly 312 hours from a few years ago, before the implementation of the new export processes in the country,” the minister said in a video broadcast during the online presentation of the study.
“The study reveals that there is still a logistical bottleneck, a challenge we need to address,” the minister added, emphasizing that only 3% of the time is consumed in public procedures – which, in his view, “largely reflects the advancements in the application of the Federal Revenue’s risk management system.”
The study’s findings were detailed by the Federal Revenue auditor, José Carlos de Araújo. “We process Brazilian [standard] exports in 107 hours. 97% of this time is spent on logistics or procedures by the exporter, the customs broker, and cargo loading. We found that between clearance [when the merchandise is ready and cleared by all agencies] and shipment, 91 hours, or 85% of the average time for exports, is spent,” he said.
“Another 12, almost 13 hours, are for the exporter or customs broker to present the cargo for clearance, which is when they submit the cargo for inspection. So, we are talking about more than 103 hours spent on procedures,” he added.
In Haddad’s assessment, surveys like this are essential for the country’s development. “It’s necessary to have a detailed understanding of the Brazilian reality. This study on cargo release times is a high-level technical work, following the guidelines and methodology of the World Customs Organization, allowing for a precise diagnosis and effective comparison with the experiences of other countries.”
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