Fertilizer volume transported by railroads increases through partnership

VLI, a logistics company that integrates railways, intermodal terminals, and ports offering solutions for agribusiness and other sectors of the economy, has already started its activities resulting from the partnership with Fertilizantes Tocantins (FTO), in Araguari, in the Triângulo Mineiro. VLI will increase the volume of fertilizer transported by rail by 20% with the service that started in May. The raw material, originating in the port of Tubarão (ES), passes through the Araguari Terminal and arrives at the FTO factory through a conveyor belt interconnection.

In 2018, the Araguari terminal handled more than 700,000 tons of fertilizer inputs and the forecast for this year is high. The results of the partnership can already be seen: VLI moved record volume on the way to June, when it reached over 120,000 tons of fertilizer. As a result, VLI hired 16 people (internal and third parties) to expand the flow of this product in the terminal. “We will increase the unloaded volume and provide the customer with a smaller queue at the other end when the ships are unloading. This consolidates our business model, which connects port, rail, and terminal as an efficient solution and strengthens the fertilizer route between Tubarão and Araguari,” notes Ricardo Ferreira, VLI’s General Manager of Fertilizers.

From the wagons the cargo can go straight to the FTO factory or, if necessary, be conditioned at the VLI fertilizer warehouse. This interconnection model and the integration between port, railroad, terminal, and factory without the use of trucks is unprecedented in Brazil and provides more agility and quality to the supply chain. The strategic location associated with an efficient modal brings benefits to every agribusiness in the region, which gains in speed and safety by having such a close and connected supplier as FTO.

Araguari Terminal X-ray

In operation since 2012
Investment: R$151m
Annual capacity: 5m tons of grain and 1m tons of fertilizer
Jobs: 234 (internal and third parties)
Main products: soybean, corn bran, and fertilizer
Origins: receives loads from MG, SP, MT, and GO. Fertilizers arrive from the port of Vitória
Destinations: grain, Tubarão Port, in Vitória; fertilizers, Triangulo Mineiro, Goiás, and Mato Grosso

FTO factory X-ray

Investment: R$91m
Jobs Created: 200
Storage Capacity: 100,000 tons
Daily shipment: up to 6,000 tons

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