05APR2019 - NEWS - Brazilian port operators to unveil proposal to lower Panama Canal tariffs and cut their costs in shipping agricultural commodities

Brazilian port operators including units of global grain traders Cargill Ltd and Bunge Ltd will unveil a proposal this week to lower Panama Canal tariffs and cut their costs in shipping agricultural commodities to their main market China. They will argue that at current tariffs, shipping grains from Brazil’s northern ports via the Cape of Good Hope is almost $206,000 cheaper on a per-ship basis than using the Canal, despite the shorter distance. In a study to be presented at a conference in Panama City on Thursday, the private port operators association ATP will propose using the idle capacity of the old Panama Canal instead of the congested large new locks opened in 2016 for Panamax ships. This could potentially cut shipping costs and shorten journey times by 4-5 days between Brazil, the world’s leading soybean supplier, and the Chinese and other Asian markets.

Published by Editor - www.Livebunkers.com at 05-Apr-2019 07:18:34 [UTC] , contact editor at editor@livebunkers.com