Brazilian exports via container grow almost 12% YoY in the last three months; imports almost 33%

May data for Brazilian imports and exports via containers, to be released by DataLiner in the coming days, show that both Brazilian imports and exports grew in the fifth month of the year compared to the same month in 2020. Despite this, the numbers are lower than those registered in March this year, when both imports and exports had positive peaks.

Exports in May reached 251,071 TEU, a growth of 9.7% compared to May 2020 and 6.06% compared to April 2021. In the accumulated result for the last 3 months – March, April, and May 2021, the growth was 11.76% compared to the same period in 2020.

YTD Brazilian Exports via Container | Jan to May 2019-2021 | TEU

Graph source: DataLiner  (To request a DataLiner demo click here)

YTD Brazilian Exports | Jan to May 2019-2021 | TEU

Graph source: DataLiner  (To request a DataLiner demo click here)

In terms of imports, the country received 233,123 TEU, 52.86% more than in May 2020 and up 6.08% in relation to April 2021. In the accumulated figures from March to May 2021, the growth was 32.91 % compared to the same months in 2020.

YTD Brazilian Imports via Container | Jan to May 2019-2021 | TEU

Graph source: DataLiner  (To request a DataLiner demo click here)

YTD Brazilian Imports | Jan to May 2019-2021 | TEU

Graph source: DataLiner  (To request a DataLiner demo click here)

Logistical Barriers

Despite the growth in exports, logistical problems and high-priced freight have complicated the daily lives of importers and exporters. The congestion in Chinese and US ports due to the Covid 19 pandemic – which has already caused more delays than the accident in the Suez Canal, the lack of containers, and high-priced freight – was reflected in the May results; these would have been better without these logistical barriers.

This is the case with coffee exports. According to the president of CECAFÉ (the Brazilian coffee exporters council), Nicolas Rueda, exports in May were impacted by continuous logistical obstacles such as a lack of containers and space on ships, and by the adjustments that have been carried out in the process of modernizing the issuance of certificates of origin by the International Coffee Organization (ICO), required for the shipment of the product. “The volume of exports has been a record high in the accumulated result for the harvest, which reflects a record harvest in 2020/21 and the extremely high competitiveness of Brazilian coffee abroad. The May results would have been higher if it were not for the logistical obstacles.  Many bookings and containers were unavailable due to congestion in Asian and North American ports following the high demand for food and other products in these regions since the pandemic began”, he explains.

ANFAVEA, (the national association of automotive vehicle manufacturers) has been feeling the lack of parts. Since January, the production level has been between 190,000 and 200,000, which reveals a kind of “technical ceiling” caused not by the lack of demand, but by the global crisis in the supply of semiconductors. “This problem, which should extend until the first months of 2022, is responsible for the temporary stoppages of part of our factories – some for short periods, others longer”, explains President Luiz Carlos Moraes, noting that this issue affects several industrial sectors, but it hurts the automotive sector in particular since a single vehicle can have up to 600 semiconductors in its electronic systems for motorization, transmission, safety, comfort, entertainment, etc.

For Cristiano Kaehler, Datamar’s Business Intelligence manager, May’s waiting periods of up to 16 days for a container ship to be able to load or unload cargo is extremely unusual. “It jeopardizes the entire logistics of companies, especially those that adopt just-in-time since these companies do not mobilize capital in stock. The parts inventory is what is on the ships. Companies are having to rethink all their logistics”.

Perspectives for the coming months

With industrial activity resuming and vaccinations advancing, the perspectives are that the coming months will yield strong results. “Projections for the 2021 GDP have been changed upwards, and now they are 4.6%, reflecting our economy”, says Andrew Lorimer, CEO of Datamar. “One point to be noted is the drop in the dollar, which should encourage imports, but affect exports a little. But the perspectives are positive”, he adds.

Port workers were included as essential workers in the national vaccination calendar and received their first doses in June; these vaccinated workers have proved to be another little cog that will keep the gears turning.

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