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Waterway sector forecasts losses of R$ 3 billion with the stoppage of the Tietê-Paraná Waterway

Aug, 30, 2021 Posted by Ruth Hollard

Week 202135

According to the Union of Customs Brokers, the temporary stoppage of cargo transport on the Tietê-Paraná Waterway, which closed on August 27, should generate losses of R$ 3 billion for the sector, mainly affecting agricultural production.

In 2020, even with the pandemic, 2.1 million tons of products such as corn, soy, sugarcane, and fertilizer were transported along the 2400-kilometer waterway that connects six states in three regions of the country.

For this year, the expectation was an increase of 10% to 15% compared to previous years. But the drought brought down the growth forecast.

The Tietê River, the starting point, needs to be at least 2.20 meters deep for the barge to navigate. With the waterway at its lowest level, at least 30 vessels were anchored at Porto Pederneiras (SP), and 80% of workers have already been laid off. The union of companies operating in the waterway is already calculating the losses.

“The direct impact for this year from now until December, between producers and companies that depend on the sector, is estimated at R$ 3 billion”, explained the president of the Customs Brokers Union, Luizio Risso.

From the terminal in Pederneiras, cargo is transferred to trains that should go to the port of Santos, but as the drought progresses, everything has come to a standstill.

Without the waterway, roads are the only way out for agribusiness companies. A more expensive alternative would be a four-barge convoy traveling with 6000 tons of cargo. To transport this amount by land, 162 trucks would be needed.

From now on, companies will have to bear the costs of this transport by road to the port of Santos.

Source: G1

To read the full original article, visit the link:

https://g1.globo.com/sp/bauru-marilia/noticia/2021/08/29/setor-aquaviario-preve-impacto-de-r-3-bilhoes-com-paralisacao-da-hidrovia-tiete- parana.ghtml

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