Increase in sea freight prices may exceed 20%, says Conab

According to the Logistic Bulletin released on the 24th by the National Supply Company (Conab), the upward trend for sea freight prices is strong, so much so that increases can exceed 20% depending on the route and the product transported.

For example, according to the state-owned company, the cost of fertilizers imported from Europe to Brazil has risen by 10%, from US$ 46 to US$ 50 per tonne. “If the products are from Egypt, the increase exceeds 20%, reaching US$ 12 per tonne,” says Conab.

“The increase in sea freight prices is explained not only by the increase in oil prices, which affects fuel but also by a reduction in the number of available routes, primarily in the Black Sea region. As a result, there is a greater demand for other routes, as well as decreased ship availability,” explains Thomé Guth, Superintendent of Operational Logistics at Conab.

According to him, the demand for exports in the second half of the year will exert even greater pressure on freight prices.”The volume of Brazilian corn exports is increasing, which will impact cargo flow on main export routes. Looking closely, we see the increase in the value of the corn basis for July in the ports of Santos and Barcarena. This proves that importers of Brazilian corn have heightened interest, especially given the effects of the war,” points out Guth.

Source: Canal Rural

To read the full original article, please go to:

https://www.canalrural.com.br/noticias/alta-no-preco-do-frete-maritimo-pode-superar-20-diz-conab/

Sharing is caring!