Customs Auditors Strike Halts Operations at Ports and Airports Across Brazil

As of midnight on Monday (25), customs auditors from the Brazilian Federal Revenue Service began an indefinite strike, impacting all ports and airports nationwide. The work stoppage affects the clearance of both import and export cargo, as well as the boarding and disembarkation of ship crews. However, the inspection and clearance of priority shipments, including live animals, hazardous materials, perishables, medications, and food, will remain uninterrupted.

“The government has granted salary adjustments to all career employees except us,” said Elias Carneiro Jr., president of the Santos Union Branch of the National Union of Federal Revenue Auditors (Sindifisco Nacional).

Carneiro emphasized that the Ministry of Management and Innovation (MGI) had violated Commitment Term 1 of 2024, which outlined that negotiations regarding career restructuring and salary adjustments would take place through specific, temporary forums established by July. According to Carneiro, no such forum was established for the auditors.

“When the federal government took office, it provided a 9% salary adjustment in two installments, but the base salary gap remains at 26.6% over the past five years,” he added.

Asked about the Federal Revenue Service’s operations to combat drug trafficking, smuggling, and fraud, Carneiro reiterated that only essential activities would continue.

Impact on Santos Port

José Roque, executive director of the São Paulo State Maritime Navigation Agencies Union (Sindamar), described the situation as alarming, warning that delays in cargo clearance could harm both the port sector and Brazil’s economy, particularly at the Port of Santos, which accounts for 30% of the country’s trade balance.

Roque urged the federal government to prioritize sectors that contribute to tax revenue collection. “Exporters are among the hardest hit. Even crew boarding and disembarkation may be affected,” he said.

The chart below shows the performance of container exports and imports at the Port of Santos from January 2022 to September 2024, measured in Twenty-Foot-Equivalent Units (TEUs). The data is from DataLiner, a product developed by Datamar, and includes only long-haul shipments, excluding cabotage and transshipment operations.

Container Exports and Imports at Santos | Jan 2022 – Sep 2024 | TEUs

Source: DataLiner (click here to request a demo)

Christmas Cargo at Risk

Roque also highlighted the potential impact on holiday goods, which are arriving now to supply the market. “Delays in clearance will force companies to resort to air freight, significantly increasing transportation costs to meet their supply commitments,” he explained.

He warned that import cargoes are particularly vulnerable, with containers piling up at terminals due to delays in clearance. “This could lead to imbalances in container availability, ultimately disrupting exports by tying up the equipment needed for imports,” Roque added.

Despite efforts by Sindamar to collaborate with public authorities and private agents to streamline foreign trade, Roque said the current environment is challenging. “Our attempts have been futile in the face of recent strikes triggered by federal inaction.”

According to Roque, the ultimate burden will fall on consumers. “Additional costs for storage, container demurrage, refrigerated equipment maintenance, and loss of domestic market competitiveness will all be passed on to the public,” he warned.

Government Response

As of Monday (25), the MGI had not provided a response. Earlier this month, the ministry stated that in February, it had signed an agreement with customs auditors to regulate bonuses through a specific, temporary negotiation forum without addressing base salary adjustments.

In July, the ministry reported that it held a fourth round of negotiations on July 11 with representatives of regulatory agency employees, proposing cumulative salary increases of 26% to 34% between 2023 and 2026.

“These adjustments would result in gains above the projected inflation for the period,” the ministry noted, adding that the counterproposal from the auditors, demanding nearly a 40% increase in personnel costs, was unfeasible due to budgetary constraints.

Source: A Tribuna

Click here to read the original news reporting: https://www.atribuna.com.br/noticias/portomar/auditores-fiscais-da-receita-iniciam-greve-e-porto-de-santos-pode-ser-impactado-1.442487

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