The Club initially notes that delay due to heavy rain is often reported for cargoes transported from Cuiaba to Santarem, because of the bad conditions of part of the highway on the Amazon River. Many trucks got stuck in the mud and soybeans were transported back to the ports of Santos and Paranagua.

In addition, the Club informs on the storage conditions in Santos and Paranagua, as well as in Argentina. Specifically, trucks and railcars transfer the soybeans cargo, covered with heavy tarpaulins, from farms to warehouses in Santos and Paranagua. Loading in these ports is done by means of shiploaders, supplied by conveyor belts from warehouses. All the cargo is stored in warehouses instead of in open yards.

In Argentina, several provinces of the country experienced heavy rains, resulting in floods in crop areas, especially soya and maize which have been harvested or will be harvested soon.

Skuld Club suggests that, after the harvest, there can be different scenarios for the subsequent storage:

  • Silo bags in the field;
  • Cells or silos (either owned by the farmer or from a third parties, including grain terminals);
  • Occasionally the harvest is loaded onto trucks and sent to the grain terminals.

The club recommends that:

  • Owners are better protected if the moisture content of the cargo to be loaded can be certified
  • Mitigating-the-risk surveys should be conducted, where surveyor will take samples during loading and will analyze the cargo for moisture content, giving a result at the same day.