Climate Challenges: How Rain in the South and Drought in the Amazon Affect National Logistics?

Written by Corporativo

Published on 24/10/2023 at 22:09

Foto: Carolina Lara

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Extreme Weather Conditions Can Disrupt Supply And Disturb The Supply Chain

Recently, Brazil has faced significant climate changes, triggering disruptions in the logistics chain. With record rains in the south and concerning drought in the Amazon, the normal flow of operations can be seriously compromised.

Imminent Impacts In The South

The southern region of the country faces an excessive volume of precipitation. In Santa Catarina alone, the rains in October exceeded 300mm. In Florianópolis, the total reached 329.6mm, well above the historical average of 153mm for the month. Due to this situation, Helmuth Hofstatter, CEO of Logcomex, draws attention to the damage that may be caused to the supply chain. Recently, access to the ports of Itajaí and Navegantes in Santa Catarina was interrupted, resulting in million-dollar losses. “Shipping companies and nearby cities are already feeling the financial impact, and with forecasts of more rain, we are likely to face problems on highways, blockages, and logistical delays,” emphasizes Hofstatter.

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To give an idea of the logistical importance of the region, some data from 2023 shows the movement of goods through the southern highways:

RS to Argentina – US$ 1,280,622.83 […] RS to Peru – US$ 216,651

Dilemmas Of Drought In The Amazon

While the south is flooded, the Amazon faces drought, harming navigation. The Amazon River, the main waterway, is essential for the supply and flow of products. Hofstatter warns: “Food, construction materials, and fertilizers are among the most affected. The lack of water may raise prices due to scarcity and increase freight costs.” The Free Trade Zone Of Manaus may also suffer, potentially affecting markets in the south and southeast. The Port of Manaus, which recently handled US$ 933,268,635 in August, may see additional costs, with companies charging extra fees per container.

Logcomex: Technology For Logistics

Founded in 2016, Logcomex stands out in the development of technological solutions, optimizing the global supply chain. The renowned foreign trade startup has a team of about 300 specialists and has a presence in over 11 countries. Its focus is on providing real-time visibility, operational efficiency, and strategic data for foreign trade businesses. For more information, check the official website.

Source: Carolina Lara.

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