Tereos adopts a new route to export sugar from Santa Catarina

The French company Tereos started to ship sacked sugar through the Port of São Francisco do Sul (SC) as an alternative to the Port of Paranaguá (PR), which currently suffers from long queues that impose high logistical costs.

The company carried out the first shipment of more than 19 tons of refined sugar in 50-kg sacks, stored in the ship’s hold as a container-free alternative.

Tareos, a global leader in the sugar, ethanol, and bioenergy market, stated that it is negotiating the export of new volumes using the same method as the logistical issues concerning the disponibility of containers are likely to remain in place.

Gustavo Segantini, commercial director at Tereos, believes that São Francisco do Sul is the company’s new export outlet.

“The lack of containers in the market prompts companies to export increasingly larger quantities using the breakbulk modality. That goes for sugar as well as other commodities,” explains Tereos as to why it started shipping through the Santa Catarina port anticipating the logistical bottlenecks that are likely to appear during the upcoming months of peak sugar exports.

The first shipment of bagged sugar at the port of Santa Catarina was carried out between October and November 2021. The operation’s vessel transported the cargo to Africa.

Check below the share of Brazilian ports in Tereos’ sugar exports in 2020 and 2021. The data are from DataLiner:

Tereos Sugar Exports | Jan to Dec 2020 | WTMT

Source: DataLiner (click here to request a demo)

Tereos Sugar Exports | Jan to Dec 2021 | WTMT

Source: DataLiner (click here to request a demo)

Even though Tereos refines its sugar at its industrial facilities in the northwest of São Paulo, the current situation in the world of logistics compensates for the long southward journey to Santa Catarina.

“The logistical costs of moving the cargo [to the port] are similar. However, operating at the Port of São Francisco allowed us to spend less on demurrage/waiting time since the Port of Paranguá had a long line-up of vessels,” said the company.

In the first shipment done in partnership with Porto Commodities, the company could save R$2 million by mitigating port expenses and accommodation costs.

Source: Money Times

To read the full original article please follow the link: https://www.moneytimes.com.br/tereos-adota-nova-rota-para-exportar-acucar-por-sc-e-dribla-gargalos/

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