RATIN

Brazil suffers droughts with crippling effect in grain trade

Posted on October, 14, 2024 at 05:37 pm


The water levels in the Tapajos river have dropped, stopping barge convoys carrying grains from key agricultural states like Mato Grosso, Brazil’s leading soy producer, to Amazon ports. According to Reuters, Amport said that barge traffic has been suspended since last Friday, with operations expected to resume in November if forecasted rains raise the river by at least 20 centimeters (7.9 inches).

This disruption follows a similar halt on the Madeira river, another major grain transport corridor, due to the drought in September. The state of Amazonas experienced an unprecedented drought, marking one of the worst environmental crises in the past 44 years.

However, according to Reuters, Sergio Mendes, head of the local grain traders’ association Anec, said export volumes have not been affected as companies had preemptively rerouted grain shipments to southern ports. 

Source: Safety4sea