According to Gard, its local correspondent in Brazil, Representacoes Proinde, informs that the global shortage of containers and port congestions are driving shipments of bagged refined Brazilian sugar back to bulk carriers.
This trend may increase the risk of cargo damage, considering that over the last decade, an average of 22 million tonnes of sugar was shipped from Brazilian ports every year.
Most Brazilian sugar is in raw form shipped in bulk. Refined sugar makes up less that 5% of the total exports. The 50-kg bags are mostly shipped in containers although some are carried as general cargo.
Proinde reports that due to the current heated demand for containers, more of the bagged refined sugar shipments are now loaded break-bulk and carried in bulk carriers.
While the freight rates are lower, the loading times are increased and weather dependent. In addition, bagged sugar carried in bulk carriers is more prone to handling damage and exposure to the elements than that packed in containers
said Gard.
