Ports: cost of waiting rises amid bottlenecks and uncertainty

Uncertainty surrounding projects with a direct impact on port operations has left the sector in a holding pattern, at a time when terminal capacity is being stretched, ships are sitting idle for days at a cost of thousands of dollars, and truck congestion remains constant. Tensions in the Middle East and the resulting volatility in the global energy market, with oil prices above $100 a barrel throughout much of March, have also put the sector on alert. The war involving the United States, Israel and Iran, along with the closure of the Strait of Hormuz, triggered an immediate rise in fuel and freight costs.

In Brazil, the National Logistics Plan, or PNL 2025, which is still awaiting review of the contributions submitted during the public consultation that ended in January, promises guidelines for logistics expansion and integration. The auction for Tecon Santos 10, set to become Latin America’s largest container terminal, could return to square one if the government gives in to market pressure against the current bidding model.

Bill 733, once expected to become Brazil’s new Ports Law, is now likely to result in a less ambitious framework. “The bill changed the responsibilities of federal agencies such as Antaq and the Ministry of Ports and Airports, which is restricted to bills proposed by the executive branch. The trend now is for only targeted amendments to the current Law 12,815 of 2013,” said Mário Povia, president of the Brazilian Infrastructure Institute.

Jesualdo Silva, president of the Brazilian Association of Port Terminals, highlighted the end of the mandatory hiring of workers through the port labor management body, Ogmo, replacing the term “mandatory” with “priority,” the result of negotiations between employers and labor groups. The extension of all lease contracts to as much as 70 years, a period established by decree in 2017, is not expected to cover older short-term contracts.

Gustavo Paschoa, commercial director at logistics operator Movecta, which has operations in Santos, Itajai and Suape, said the PNL aims to reduce logistics costs, rebalance Brazil’s transport matrix, now close to 65% road-based, and create logistics corridors. “In Santos, there is a need for expansion through channel deepening, the construction of the Santos-Guaruja tunnel and the new STS-10 terminal. The lack of integration among all players in the ecosystem is worsening the mismatch in infrastructure,” Paschoa said.

Murillo Barbosa, president of the Association of Private Port Terminals, said private-use terminals, or TUPs, were left out of the PNL 2035, but the segment is now being heard. “In our contributions to the PNL 2050 public consultation, we stressed the need for investment in highways and rail spurs linking to TUPs,” Barbosa said.

Some TUPs already handle cargo volumes on a par with Brazil’s largest leased terminals. Itapoa, in Santa Catarina state, handled 1.5 million TEUs in 2025 and is investing 500 million reais in its fourth expansion phase. “Since it was created 15 years ago, Itapoa has invested more than 3 billion reais,” said Ricardo Arten, president of the Port of Itapoa.

In 2025, the Ministry of Ports and Airports held eight auctions totaling 10.3 billion reais. For 2026, 18 terminals are planned, representing 10 billion reais. The first three already auctioned total 226 million reais. In 2025, the ministry also granted nine new authorizations for TUPs, cargo transshipment stations and tourism port facilities, totaling 8.22 billion reais, in addition to 34 contract amendments worth 1.218 billion reais. In 2026, there have been three new authorizations and one contract amendment, totaling 1.32 billion reais.

On Tecon Santos 10, Antaq had barred the participation of companies already operating in Santos. Brazil’s federal audit court, the TCU, expanded the restrictions by recommending a ban on any type of shipping line and requiring the tender documents to undergo fresh review if changes are made. The Ports Secretariat says the project remains a priority and that the tender is being prepared by Antaq following the TCU’s rulings.

“The Antaq and ministry model is no different from what has already been done in the past to foster competition and avoid concentration. There is an exaggerated dimension being attributed to this terminal,” warned Antônio Carlos Sepúlveda, chief executive of Santos Brasil. The company is controlled by CMA CGM, Europe’s third-largest shipping line, which has no interest in Tecon Santos 10 because it would have to divest Santos Brasil, which handles 43% of the volume moved in Santos.

The divestment timetable worries APM Terminals, Maersk’s terminal arm and part of the world’s second-largest shipping line, if the model is changed to allow shipping line participation. “It is not rational to sell the terminal we already have, BTP, before signing the new contract,” said Leonardo Levy, investment director at APM Terminals.

In early March, shipping association Centronave published a statement warning about exhausted port capacity and the risks of barring shipping lines from participating. “It is unconstitutional to ban any kind of participation in advance. There is enormous indignation among shipping lines worldwide, because this does not exist anywhere else,” argued Claudio Loureiro, executive director of Centronave.

Anderson Pomini, president of the Santos Port Authority, warned that the port’s total capacity stands at 6.5 million TEUs, of which 5.5 million have already been reached. “We need Tecon Santos 10, a project that has been under discussion for 13 years. The tender must be launched. Antaq has already decided, and the ministry and the TCU have already validated it,” Pomini said.

Because of the high concentration in Santos, the PNL is seeking to redraw Brazil’s port map by increasing the role of terminals such as Suape, Pecém and Paranagua, while also improving the integration of roads and railways with ports.

Source: Valor Econômico

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