Customs Strike Impacts Brazil’s Trade

Products coming into Brazil by the border, air or sea are likely to be delayed at the port of entry because of a strike by customs agency workers , according to an article in the Journal of Commerce. The inspectors are taking action over wages and government budget cuts.

The  impact of the slowdown has varied by port. Roberto Teller, president of the Santos Port Operators Association, said that all the container terminals in Santos, South America’s largest container port, had been hit by the strikes.

The Brazilian Association for Animal Protein (ABPA) is complaining that strikes and slowdowns by Brazil’s customs officers are creating serious delays for chicken exporters in Brazil. Marcelo Oliveira, the chief communications officer at ABPA, said that  the week-old strike by Federal Agricultural Inspectors (FFA) is taking its toll on chicken shippers such as Brazil Food Services and JBS Foods. The union is pushing for a wage increase of up to 35 percent.

Some Brazilian news agencies are reporting that 7,000 containers, or 14,000 twenty-foot-equivalent units, loaded with chicken and pork are currently “paralyzed” in various Brazilian ports.

Brazilian farm customs inspectors who also have been striking, are demanding that the classification of farm customs inspector be adjusted, and a two-year structure for pay increases instead of a four-year structure.Without the certificates issued by the inspectors, many corn and soybean shipments cannot leave port, causing major delays.

RCL Agencies will continue to monitor the situation and provide more updates once available