Soybean and sugar traders are struggling for space in Latin America’s largest port, rushing to secure loading slots at terminals as the slowest Brazilian soy harvest in ten years pushes the grain export window into the sugar season. Congestion is hitting the port of Santos just as consumers worldwide have been turning to Brazil for sugar and soybean supplies. The glut of shipments is boosting transport costs and is expected to delay arrivals at destinations. Sugar prices hit a four-year high late last month, boosted by the supply tightness. Soybean prices, already near seven-year highs, could rise even further at a time when Brazil is effectively the world’s main supplier. Market players expect increasing delays in the coming months, with ships likely to wait several weeks before being able to dock in Santos.
Source: Nova Cana (*Translated by Ia Niani)