Ports and Terminals

Unprecedented Strategy by Lumber Exporter from Santa Catarina Cuts Cargo Transit Time to the U.S. by 45 Days

Apr, 15, 2025 Posted by Denise Vilera

Week 202517

An unprecedented strategy developed by Freeport, a lumber exporter based in Santa Catarina, in partnership with Grupo Allog, a company specializing in international freight transport, bypassed delays caused by high cargo demand at southern Brazilian ports and reduced the shipment time from Santa Catarina to the United States by 45 days. The solution: transporting the cargo by road to the Port of San Antonio, in Chile, and then shipping it to the U.S. West Coast.

The change in the cargo route was prompted after Frameport found, at the end of 2024, that only 20% of its shipments were arriving on time at the importer. At that point, the company called on the freight forwarder to devise a new strategy to overcome the various factors affecting the lead time between Brazil and the United States, which had reached as much as 100 days—more than double the standard timeframe.

The average delivery time for the shipments carried out so far was reduced to just 39 days. According to Wellington Ozório, Export Manager at Freeport, implementing the new strategy required meticulous planning. The process involved 30 days of research, carrier evaluation, and negotiations with the Chilean port, all with support from Grupo Allog.

“The new logistics route represents a significant breakthrough for Frameport, ensuring greater efficiency and competitiveness in the international market. The reduced transit time allows the company to strengthen its presence in the U.S. and open up new potential business opportunities,” said the manager.

Route Planning

The new transport route includes a cargo transshipment in Mexico, with the final destination in California, United States. Despite the overland distance of more than 2,000 kilometers, the solution maintained stable freight costs, with no additional burden on the exporter since ocean freight from Chile is cheaper than from Brazil.

To implement the solution, Frameport and Allog conducted an in-depth study of the alternative route via Chile, where the shipping line offers shorter transit times. The companies also partnered with a carrier for international road transport and coordinated the cargo clearance process with a specialized customs broker.

San Antonio Port in Chile—the country’s largest in terms of container and general cargo throughput—was chosen as the point of departure. The port is currently undergoing expansion to become the main hub port of the South Pacific. It is currently operating at just 60% capacity and showing low omission rates.

A New Outlook for the Second Half of the Year

The new logistics route could increase Frameport’s export capacity. Starting in the second half of this year, the company plans to ship at least 60% of its cargo to the U.S. West Coast via the Chilean port.

“This solution represents a significant advancement for Brazil’s export sector, which is actively seeking ways to optimize cargo transit time and reduce costs,” explains Rodrigo Portes, Account Manager at Grupo Allog. “The partnership with the exporter from Santa Catarina highlights the importance of collaboration and the search for creative solutions to face the challenges of international trade,” he adds.

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