VLI Enters the DDGS Market with a 45,000-Ton Shipment at the Tubarão Complex in Vitória, Brazil

VLI, a logistics solutions company operating railways, ports, and terminals, has entered the DDGS (Dried Distillers Grains with Solubles) market. DDGS, a byproduct of corn ethanol used in livestock nutritional supplementation, has gained significant economic importance in Brazilian ethanol plants. Between November 2 and 7, the company completed its first shipment of approximately 45,000 tons of the commodity, produced by Inpasa—the largest grain ethanol biorefinery in Latin America. VLI plans to ship five vessels from the General Cargo Terminal 3 at the Tubarão Complex in Vitória (ES) to the Asian market, totaling approximately 200,000 tons in 2023.

Brazil is one of the world’s leading producers of DDGS. According to the National Corn Ethanol Union (Unem), the country is expected to produce 4 million tons of the product during the 2024/25 harvest, a 31.6% increase compared to the previous season. Of this total, between 800,000 and 1 million tons are projected for export.

The shipment originated in Sinop (MT) and was transported using VLI’s multimodal logistics solutions. This included rail transport from the Araguari Integrated Terminal via the Eastern Corridor of the Ferrovia Centro-Atlântica (FCA) and the Vitória-Minas Railway (EFVM) to General Cargo Terminal 3 in Vitória (ES). The cargo was loaded onto ships at the terminal using an integrated system for receiving, handling, and storing goods alongside a 300-meter grain pier.

“Despite being a relatively new market, DDGS processing in Brazil has advanced significantly in recent years. Industries in this sector are expected to produce up to 10 million tons of this commodity by the 2031/32 harvest, with 25% to 30% of that volume destined for export,” said Daniel Schaffazick, Director of Operations for VLI’s Eastern Corridor.

“Our entry into this segment is part of our broader strategy to handle the substantial growth in cargo volumes anticipated in the Eastern Corridor, pending the renewal of the Ferrovia Centro-Atlântica concession, whose approval process is underway. In Espírito Santo alone, demand studies project a 63% increase in these shipments over the coming decades,” he added.

Sharing is caring!