Shipping

Chamber approves basic text of cabotage bill ‘BR do Mar’

Dec, 08, 2020 Posted by Ruth Hollard

Week 202051

In the early hours of Tuesday, December 8, the Plenary of the Chamber of Deputies was unable to complete the vote on Bill 4199/20, to encourage cabotage, known as BR do Mar. The text counts as a constitutional urgency and has blocked the agenda.

Despite this, the parliamentarians of the Chamber approved the basic text of the BR do Mar proposal in the form of the substitute presented by the rapporteur, deputy Gurgel (PSL-RJ), to the original of the Executive Branch. Although most of the highlights have already been analyzed, six remain to be analyzed, which may alter the proposal.

The project progressively releases the use of foreign vessels in Brazil without the obligation to contract the construction of units at local shipyards. Once the future law is passed, the text predicts that companies will be able to rent vessels to operate in cargo transportation.

Changes
By 324 votes to 114, the substitute presented by deputy Gurgel was approved, on Monday evening (7). He made changes to more than a dozen topics that were in the Executive version.

The rapporteur also included an instrument to expressly prohibit the contracting of land transportation – neither on the way to the port nor from the port to the final customer – by maritime shipowners or by coastal or shipping companies that belong to a single economic group.

An amendment presented by the PSC was approved in order to reintroduce incentives for the formation of a national fleet and to try to ensure the regularity of the coastal shipping service. The idea was in the Executive’s original but had been excluded by the rapporteur.

Another approved highlight presented by the MDB ensures a source of financing for dredging services in port areas and on waterways in order to stimulate waterway transport of cargo. The objective is to increase the competitiveness of this modal.

The government leader in the Chamber, deputy Ricardo Barros (PP-PR), predicts that the project will reduce the so-called “Brazil cost” by R $ 3 billion. “For the first time, we put Brazilian soy into China cheaper than the North Americans did, but we need to evolve further.”

Reviews
Congressman Fausto Pinato (PP-SP) insisted several times in Plenary that the text will favor the formation of a cartel to the detriment of road cargo transportation. “It’s a matter of prison,” he said, announcing that he will go to the Public Ministry. The government leader denied any wrongdoing.

Congressman Marcelo Ramos (PL-AM) also criticized the proposal. “There are people who think that Brazil only exists from the Southeast downwards and forget that there are men and women in the poorest regions. The jobs that this government project is taking are theirs. ”

The analysis of PL 4199/20, which started at 15h55 and extended until 2h10, and should be resumed. The opposition will try to postpone the work by arguing that the text benefits foreign companies, threatens jobs, undermines revenue, and does not reduce costs.

Source: Agência Câmara de Notícias

Sharing is caring!

Leave a Reply

Your email address will not be published. Required fields are marked *