Grains

Inspection barriers tighten for Uruguayan soybean exports to China

Oct, 04, 2024 Posted by Gabriel Malheiros

Week 202439

According to Chadwick Weir Navegacion, as per the latest official reports, China has once again consolidated its position as the main destination for Uruguayan exports, driven primarily by an increase in soybean sales. In July, Uruguayan exports to China reached US$ 300 million, representing 26% of the monthly total and registering an 89% increase compared to the same period in 2023. This growth was largely driven by soybeans, whose exports increased more than sevenfold compared to the worst moments of the drought.

A protocol of phytosanitary requirements for the export of soybeans from Uruguay to China, signed by both countries in 2017, remains in place. At that time, a significant number of claims arose regarding soybeans shipped from Uruguay to China, likely due to over-moisture and high temperatures prior to loading. To prevent cargo claims at the destination, operators were advised to appoint surveyors to monitor loading and ensure cargo condition controls before shipment.

In recent years, such controls have been arranged without issues. However, it has been noted that most private terminals are now restricting external inspectors from performing quality controls on cargo at conveyors or on vessels, citing restrictions imposed by shippers. In some instances, these issues were addressed prior to berthing, but often this was not possible, preventing the requested precautionary surveys from being conducted.

As a result, quotation messages now include an alert, advising operators to coordinate with charterers/shippers in advance to avoid survey-related problems. Despite these efforts, the short time frame for arrangements has rendered this approach largely ineffective. Operators are therefore advised to secure authorization for inspections well in advance.

While these issues have been observed mainly with soybean shipments to China, similar restrictions could potentially apply to other grain products at these terminals.

Source: Safety4Sea

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