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Logistics in Brazil: Challenges and Opportunities to be Discussed at ABM Week 2024

Written by Corporate
Published 06/09/2024 às 16:09
logistics, transport, steel industry
Challenges and opportunities for logistics in Brazil discussed at ABM Week 2024′. – PHOTO: ©2024|GOTCHA Press/b>

Experts at ABM Week 2024 discuss logistics challenges in Brazil, including multimodal integration, investment in infrastructure and regulatory complexity.

During ABM Week 2024, experts discussed the challenges faced by logistics in Brazil and possible solutions to boost the sector. The discussions highlighted the urgent need to improve multimodal integration, increase infrastructure investment and address the complexity of regulations that affect efficiency logistics in the country.

This edition of the event, which took place in São Paulo, paid special attention to the structural and regulatory issues that impact logistics and freight transport. Experts stressed that better planning and a greater commitment to infrastructure development are crucial to increasing the sector’s competitiveness. They also highlighted that logistics is essential not only for industry, but for the entire national economic sector. The focus on integrated solutions and overcoming regulatory barriers was highlighted as a vital path to progress.

During the round table 'Integration of Transport Modes: Opportunities and Challenges', held on September 5 as part of the 41st Seminar on Logistics, Supplies and PPC, experts discussed the current stage of logistics in Brazil, addressing logistics infrastructure, investments and the importance of multimodal integration for economic growth.

Discussion on Logistics Infrastructure and Multimodal Integration

The event was attended by Paulo Roberto Bertaglia, industry consultant, Danielle Bernardes, Executive Manager of the CNT Executive Branch, Carolina Tascon, Commercial Director of VLI, Elias Francisco da Silva Júnior, Secretary of Port Affairs and Employment of Seport/Santos, Fernando Machado Diniz, Director of Communications and Institutional Relations of MoveInfra, and Horacidio Barbosa Leal, Executive President of ABM. They met at the 'Roundtable Integration of Transport Modes: Opportunities and Challenges' to discuss how logistics in Brazil can be optimized.

Challenges and Opportunities in the Multimodal Matrix

Coordinated by Delmi Vicente de Carvalho, Coordinator of the CRAMG Logistics Working Group, and Vitor José Melo Soares, General Manager of Logistics at Usiminas, and moderated by Consultant Paulo Roberto Bertaglia, the roundtable focused on discussing the efficient integration of different modes of transportation and how technologies can maximize growth potential. Carolina Tascon highlighted the imbalance in the multimodal matrix in the steel industry, emphasizing the predominance of highways in cargo transportation, which accounts for 73% of transported products.

Economic Impacts on Cargo Transportation

Danielle Bernardes highlighted that economic problems, in addition to logistics in Brazil, contribute to this inequality. She explained that the lack of integration between railways and highways and the need for transfers increase costs, leading many companies to prefer road transport. Bernardes also highlighted that a state policy focused on developing logistics infrastructure is essential to overcome these challenges. According to her, building railways takes more than a decade, requiring a commitment that goes beyond a four-year government.

Investments and Legal Security

Fernando Machado Diniz mentioned that companies in the transport infrastructure sector are willing to invest, pointing out that the six MoveInfra companies have committed to investing R$80 billion by 2027. However, improvements in business environments are necessary to provide greater security for investments, including legal security and regulatory stability.

Regulatory Complexity and Tax Challenges

Elias Francisco da Silva Júnior mentioned the importance of regulatory stability to encourage long-term investments. For Diniz, issues such as bureaucracy and tax complexity, such as ICMS between states, are significant barriers. The creation of the Electronic Transport Document (DTR) aims to simplify these processes, but it still lacks regulation effective.

Prospects for Foreign Investment

Danielle Bernardes stressed that the regulatory complexity in Brazil scares off foreign investors. She compared Brazilian regulations with those of other countries and highlighted that regulatory requirements are a major challenge. Silva Júnior agreed, stating that these obstacles inhibit investment, especially from abroad.

Public-Private Partnerships and Opportunities

The current focus is on public-private partnerships, which have shown significant progress. However, Bernardes stressed the need for more public investment and a different vision for infrastructure projects. Silva Júnior concluded that, despite the challenges, Brazil has numerous opportunities, especially in the steel sector, and there is much work to be done to take advantage of these opportunities.

ABM Week: Technical-Scientific Event

ABM Week is the main technical-scientific event in Latin America focused on the metallurgy, materials and mining sectors, held annually by the Brazilian Association of Metallurgy, Materials and Mining (ABM). The 8th edition of the event is hosted by ArcelorMittal and has several important sponsors, bringing together professionals, researchers and companies to discuss innovations and challenges in the industry.

Round Table Service

Service | Roundtable Integration of transport modes: opportunities and challenges – 8th ABM Week Date: September 5, 2024 Location: Auditorium Vale-Decarbonization, Pro Magno Events Center – Av. Profa. Ida Kolb, nº 513, Jardim das Laranjeiras, São Paulo – SP More information: https://www.abmbrasil.com.br/por/evento/abm-week-8-edicao

Source: GOTCHA Press

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