Cordonnier: Chronic Congestion at Brazil's Southern Ports

May 11, 2012 06:06 AM

South American crop consultant Dr. Michael Cordonnier says the rush to export soybeans and meal from Brazil is resulting in an average wait time of 20 days to load in southern Brazil. He says ports do not have the capacity needed to meet the demand.

"The increased export pace is the result of strong soybean prices encouraging farmers to rapidly sell their 2011-12 production, relatively dry weather at the port allowing for an accelerated loading pace, as well as a weakening of the Brazilian currency which makes the prices even better for Brazilian farmers," says Dr. Cordonnier.

Dr. Cordonnier says the government is trying to address the problem with a proposal to expand and modernize the port system, but in the meantime port officials hope to increase their daily loading capacity by upgrading the size ship loaders at the public corridor.


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