Port of Antonina signs contract to export 1.4 million tons of sugar

Port of Antonina, a part of the FTSPar Group located on the coast of Paraná, has recently signed a 2-year contract (covering the 2024/2026 harvest seasons) with trading company EDFMan for the shipment of 1.4 million metric tons of bulk VHP sugar. The agreement, inked on the 25th of last month, includes the option of renewal for an additional 2-year period.

“The Porto Ponta do Félix paves the way for the export of the Brazilian sugarcane crop,” noted Valdecio Bombonatto, CEO of FTSPar.

This agreement follows successful shipments through the terminal during the second half of this year. In August, 16,000 metric tons of VHP sugar produced in São Paulo were exported to Venezuela. Loading the vessel Irvine Bay occurred at an impressive rate of 457 metric tons per hour, totaling around 11,000 metric tons per day.

VHP sugar, or Very High Polarization sugar, retains its natural color and still possesses a layer of syrup covering the sugar crystal, resembling honey. VHP sugar serves as the raw material for the refined sugar commonly available in supermarkets worldwide.

According to Gilberto Birkhan, President of Porto Ponta do Félix, the new contract underscores the terminal’s potential for handling such cargo, consistently surpassing productivity targets. “Another addition to Porto Ponta do Félix’s portfolio, reinforcing its distinction as a terminal for custom cargo in Brazil,” says the President.

Unique Operations and Market

Rodrigo Ostanello, CEO of ED&F MAN Brasil, the firm responsible for the cargo, praised the operation conducted by the Paraná terminal. “The operation was filled with challenges, surprising, and very positive,” he remarked. He added that other vessels are scheduled for later this year.

One of the significant advantages of operating through Porto Ponta do Félix in Antonina is the operational time. “There are no waiting queues for docking, unlike other ports that are overwhelmed with average queues of 15 days and no additional space for the nominal export volume,” he emphasized.

Market Growth

According to data from the National Supply Company (Conab), sugarcane production in the 2023/24 harvest is expected to increase by 4.4% compared to the 2022/23 cycle, with an estimated 637.1 million metric tons. The rise is attributed to improved crop yields and the expansion of cultivation areas. Conab expects 8.4 million hectares of sugarcane to be allocated for harvesting, with an average yield of 75,751 kilograms per hectare.

With such sugar output, Brazil is poised to reclaim its position as the world’s largest producer, which it temporarily lost to India following a historic crop failure in 2021/22.

New Investments

Over the next few months, Porto Ponta do Félix will also gain new warehouses, enabling an 85% increase in storage capacity, gradually expanding from 280,000 metric tons to 520,000 metric tons.

“Increasing static capacity opens doors to new segments. We also have plans for operations such as coastal wheat transport and the import of soda ash, a sodium-based product used by the food industry,” noted Birkhan.

Earlier this year, the port completed investments in new maritime fenders, equipment that enhances safety during vessel docking. These fenders serve to cushion the impact of a ship’s encounter with the docking structure, reducing the risk of damage.

“We prioritize safety, and it’s no different regarding vessels. These improvements are expected to attract even more ships to Antonina, adhering rigorously to global standards for secure port facilities,” concluded Birkhan.

Source: Comex do Brasil

Click here to access the original publication: https://comexdobrasil.com/porto-de-antonina-assina-contrato-para-exportacao-de-14-milhao-de-toneladas-de-acucar/

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