Reduction of tariffs for cargo transport in the Port of Santos after privatization should increase competitiveness and attract ventures, according to Ministry of Infrastructure

Ruth Rodrigues
per
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29-04-2022 10:51:25
in Naval Industry, Ports and Shipyards
The Ministry of Infrastructure is forecasting a reduction of up to 20% in the tariffs charged within the Port of Santos for cargo transport operations after privatization and, as a result, expects a greater attraction of projects to the location. Photo: Exame/Germano Lüders




The Ministry of Infrastructure is forecasting a reduction of up to 20% in the tariffs charged within the Port of Santos for cargo transport operations after privatization and, as a result, expects a greater attraction of projects to the location.

The projections of the Ministry of Infrastructure regarding the privatization of the Port of Santos for this Friday (29/04), are quite optimistic. And the agency expects that, after the privatization process, new ventures will be attracted to the place, due to the expected reduction in the rates charged for cargo transport operations in the complex, which has become one of the largest in the national port sector.

The process of privatization of the Port of Santos should culminate in a reduction of up to 20% in the tariffs charged for the transport of cargo and attract new ventures 

The Ministry of Infrastructure, in partnership with the National Waterway Transport Agency (Antaq), is increasingly invested in the privatization processes of national port complexes and the next on the list is the Port of Santos. Thus, with the privatization process of the complex, the ministry hopes to attract new ventures with the reduction which is being projected for the rates charged within the cargo transport operations.

According to initial projections by Antaq and the Ministry of Infrastructure, the Port of Santos should receive a reduction of up to 20% in cargo transport tariffs after the end of the privatization process. This is a great opportunity for the complex not only to attract more investors, but also to generate even greater competitiveness within the national port segment, in which projects in the complex will be increasingly sought after due to tax benefits and low tariffs. 

Despite this, the Ministry of Infrastructure still needs to materialize these projections with the completion of privatization, since the current reality is far from reducing tariffs, as a new tariff structure came into effect this month, with an average readjustment of 13.2%, authorized by Antaq. This is not so encouraging news for the port sector, but the privatization of the Port of Santos could still attract even greater growth to the complex, if the ministry's projections are in line with what will happen in cargo transport rates. 

Representatives of the port sector emphasize the need for low tariffs for cargo transport operations for a more attractive production chain for enterprises 

One of the main objectives of the Federal Government and the Ministry of Infrastructure with the privatization of the Port of Santos is to attract new investments for the infrastructure of the place. However, the possibility of even lower tariffs and a new dynamic to attract enterprises focused on the transport of cargo in the port opened the eyes of the organs so that this is one of the points to be observed within the privatization process. 

Thus, the director-president of the National Federation of Port Operators (Fenop), Sérgio Aquino, commented on the relevance of the drop in tariffs for cargo transport in the search for undertakings for the port and stated: “Any increase or reduction in tariffs by the Port, always generate repercussions in the user's cost. This means that they influence up or down on imported goods and on the competitiveness of the export product. But it all goes down to the price of the products. If the port terminal charges too much, if the shipowner charges high freight, the cargo always pays the bill”.

With this, the Ministry of Infrastructure needs to work alongside the company that will buy the Port of Santos after privatization to ensure that these projections become reality in the future scenario of the complex.

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Ruth Rodrigues
Graduated in Biological Sciences from the State University of Rio Grande do Norte (UERN), she works as a writer and scientific disseminator.