Grain exports should grow 8.5% in the third quarter
The solid bulk export operators at the Port of Paranaguá foresee an 8.5% increase in handling for the 3rd quarter of the year. In the next three months, from July to September, they expect to handle about 7.6 million tons, 600 thousand more than the exported in the same period, in 2019.
In expectation, released this week by Portos do Paraná, are the projections of 12 terminals that move soybeans, in grain and bran, corn and sugar through the port of Paraná, based on the performance of the first two quarters of the year.
“Despite the pandemic moment, the port activity and the agricultural activity of the State remain strong. Exports were driven by the record harvest; the high dollar and the dry weather, which favors shipments ”, says Luiz Fernando Garcia, President of the public company Portos do Paraná.
According to him, the forecast of a winter with little rain and the maintenance of the operation to combat Covid-19 guarantee the positive expectation for the coming months. “The health care measures for workers will continue and this provides security for those on the front line, producers, exporters and buyers,” adds Garcia.
FORECAST – Port operators consulted by Portos do Paraná estimate that soy will continue to be the busiest product. There are about 4.97 million tons of grain and bran expected – 30.8% more than the 3.8 million tons exported in the third quarter of last year.
According to André Maragliano, director of the Association of Terminals of the Paranaguá Export Corridor (ATEXP) and manager of Cargill’s terminal, the high demand of the main buyer of the Brazilian oilseed, China, is one of the factors that drive, this year, the soy exports. In addition to the large Chinese consumption, foreign exchange and price should also favor trade.
“The exchange rate, at the levels it is at, makes operations attractive. The producer wants to sell; the price of soy is good; then, everything is favorable. We expect a very positive third quarter, following the first two quarters of the year, ”says Maragliano.
SUGAR – In bulk sugar, the volume expected for the next three months is 1.45 million tons in the next three months. The projected is 74.74% higher than the 829,791 tons exported of the product, in 2019, from July to September.
As stated by Pasa’s administrative and financial supervisor, Osvaldo Inácio, the main operator of the product through the Port of Paranaguá, the increase presented in the first semester continues in the next three months. According to him, although the company expects a slightly more timid increase than projected, there are several factors that have contributed to the positive performance in the sector.
The rise in the exchange rate issue, which, according to the terminal representative, encouraged exporters to fix prices and close contracts would be one of the factors. In addition to this, he lists the crop failure, from five to six million tons of sugar in Thailand, the second largest exporter in the world; and the issue of oil, whose low price has made Ethanol less competitive, forcing mills to produce more sugar.
“Allied to this, an important issue that we can also consider, as an incentive to increase volumes, is the issue of port infrastructure, made available by Portos do Paraná. In mid-March, the port authority approved an increase in draft for the berth, which allowed rescuing customers who had migrated to other ports in previous years, and who are now interested in moving again in Paranaguá ”, says the supervisor of Pasa.
CORN – Traditionally, soybean exports are stronger in the first half and corn in the second. What should happen in 2020. The sector expects to handle around 1.2 million tons of the product in the next quarter
However, operators recall that the product export scenario was atypical in 2019, which appears in the comparison of volumes handled. “Last year, corn was in stock in the first few months and, with the soybean crop coming in, we had to make space in the warehouses. We offer corn to customers, stimulate sales and push the market for the first half, with a steady movement until the end of the year ”, explains Helder Catarino, Interalli Terminal manager, the main operator of the product through the Port of Paranaguá.
Despite the volume forecast for 2020 being almost 50% less than the 2.42 million tonnes exported in the same period, last year, the segment is excited. “Our expectation is very positive. The safrinhas from Paraná and Mato Grosso do Sul are already being harvested and will be bulky, despite the break by drought; the exchange rate and prices are attractive; and we have logistical capacity. In other words, all conditions are favorable and Porto is ready for demand ”, adds the Interalli manager.
Iran, South Korea and Japan are the main destinations for corn exported through the Port of Paranaguá.
Source: www.informativodosportos.com.br