Soybean Shipments in Rondônia Face Road Bottlenecks Amid Surging Harvest

The shipment of the 2024/25 soybean crop in Rondônia is facing severe congestion, with daily truck queues reaching up to 1,200 vehicles at the Port of Porto Velho—the state’s primary agricultural export hub and a key outlet for part of northwest Mato Grosso’s production. The delays in grain unloading are directly impacting freight costs, which could rise by up to 15%, according to Olivier Girard, CEO of consultancy firm Macroinfra, as reported by Transporte Moderno.

A lack of capacity at river terminals is a key issue. “Many of these terminals are outdated and operate under limitations. The Amaggi-operated terminal and Cargill’s terminal, for example, have barge loaders with capacities ranging from 220 to 500 tonnes per hour, which are insufficient to handle the current soybean volume,” Girard explains.

According to the consultant, the long queues are the result of a combination of factors. “Last year’s severe drought reduced throughput at the terminals, leading to an accumulation of cargo in storage facilities. Now, with higher river levels, demand for transport has surged, but infrastructure has not kept pace,” he adds.

Irani Bertolini, president of Transportes Bertolini and vice president of logistics at NTC & Logística, highlights another issue: “We have a bumper soybean crop, and farmers must harvest quickly to plant corn right after—otherwise, they miss the rainy season window. This creates a backlog at the port, as harvested soybeans must be cleaned, dried, loaded onto trucks, and transported. Additionally, the convoys that should be moving soybeans are taking longer to navigate the Madeira River due to strong currents.”

Bertolini points to two main problems. The first is the record soybean harvest, which must be quickly harvested and shipped to allow timely corn planting. The second is the Madeira River’s high water levels, reaching 16 meters or more, compared to just 2.5 meters during the dry season. The strong current—measuring 7 knots—slows down barge convoys traveling upstream to Porto Velho to load soybeans, adding two to three days to transit times compared to periods of calmer waters.

Despite these challenges, Bertolini expects the situation to normalize by the end of the month. “Bertolini has 80 to 100 barges available, capable of carrying between 300,000 tonnes and 2 million tonnes of soybeans. Additionally, other companies, such as Cargill, operate in the region with 15 barges,” he explains.

He also notes that the river’s current levels are historically high. “The last flood of this magnitude happened in 2012,” he recalls. According to Bertolini, the ports have the capacity to handle even larger volumes, but the main bottleneck lies in the arrival of convoys. “The only real constraint at Porto Velho’s port complex is access to the terminals. The government must invest in improving this infrastructure,” he emphasizes.

One example is the dirt road in Cujubim, which spans 10 to 12 kilometers and should have been paved years ago. “It still hasn’t been done, and when it rains, the road turns into deep mud. Sometimes, earthmoving equipment is needed to pull trucks through,” Bertolini explains.

This access issue is widespread. “In Miritituba, southeastern Pará, for example, 5,000 trucks were stranded, blocking more than five kilometers of dirt roads, effectively halting traffic,” he adds.

In addition to logistical bottlenecks, costs are mounting. “When trucks are delayed, daily rental fees must be paid. Trading companies hire these vehicles under contracts with farmers to collect soybeans. If unloading takes too long, freight costs rise, as the trucks sit idle instead of making deliveries,” Bertolini explains.

As a result, both Girard and Bertolini estimate that freight rates have already increased by around 15%, due to truck shortages and the bumper harvest’s logistical impact. “Unloading time itself is not the issue—a bi-train truck unloads in just 10 minutes. The problem is the lack of storage space for this soybean influx,” Bertolini points out.

Economic Impacts

With trucks waiting up to six days to unload, logistics costs have skyrocketed. “If a truck is stuck for six days, it loses multiple trips per month, slashing profitability,” Girard explains.

Beyond financial losses, logistics inefficiencies are undermining Brazil’s soybean competitiveness on the global stage. “We are losing ground to Argentina and the United States, which have more efficient logistics networks,” Girard warns.

In a statement to Transporte Moderno, Amaggi—one of Brazil’s largest soybean trading firms and operator of two terminals in Porto Velho—confirmed that it had anticipated a 15% increase in cargo volume compared to last year and is adjusting operations accordingly. “The surge in volume, combined with harvest delays, has introduced additional logistical challenges, but we are tackling these issues with the full support of our team,” the company stated.

Amaggi emphasized that soybean truck arrivals from Mato Grosso and Rondônia follow a pre-established schedule and that its port units in Porto Velho are being adapted to manage the increased grain flow. The higher demand stems from delayed harvesting in Rondônia, caused by adverse weather conditions. While this may cause some delays, the company assured that no major disruptions to the soybean supply chain are expected.

Outlook and future solutions

According to Macroinfra’s Girard, investment in infrastructure is the key to resolving these recurring bottlenecks. He advocates for modernizing terminals and expanding loading capacity. “We need to replace outdated equipment—such as loading and unloading systems—and improve truck reception infrastructure to accelerate cargo flow,” Girard suggests.

Bertolini echoes this sentiment, stressing the urgent need to improve road access to ports. “There are dirt road sections that make truck arrivals difficult, especially during the rainy season. Without government investments, this problem will continue to repeat itself,” he warns.

He also calls for paving and expanding access roads to terminals to facilitate truck movement and reduce waiting times. “The issue isn’t just inside the port, but also in the surrounding areas, where the road infrastructure is inadequate for the growing cargo volume,” he adds.

Another critical factor is dredging the Madeira River, essential for maintaining navigability. “The government is in the process of granting a concession for hydrovia maintenance, but it is still in the public consultation phase,” Girard concludes.

Source: Transporte Moderno

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