Historic flooding disrupts access to key Brazilian soy port

Freight costs are increasing out of one of Brazil’s major southern ports due to the “biblical flooding”, obscuring rail and road passages to and from Rio Grande Do Sul.

The torrential flooding in South America could soon disrupt exports from Brazil’s fourth-largest soybean port in Rio Grande Do Sul as floodwaters spill over into roadways and rail routes linked to the major Brazilian grain port.

Loaded grain trucks must travel an extra 250 miles per trip to circumvent blockades and reach the Rio Grande port. That, of course, is causing delays as well as increasing freight costs.

Brazilian grain traders exported more than 10 million tons of soybeans and 3 million tons of soy meals out of Rio Grande Do Sul in 2023.

Brazil’s southernmost state has received more than 31 inches of rain in a week, which has led to the declaration of a public emergency and the deaths of at least 100 people. 128 are still missing. More rain is in the forecast through the first half of May.

Related Stories
Weak soybean sales and soft wheat demand contrast with solid corn export strength.
The analysis models how trade disruptions in the Strait of Hormuz may continue to drive up the cost of fertilizer.
National Land Realty’s Jeramy Stephens explains how rising input costs and economic uncertainty are impacting the farmland market and what landowners should watch moving forward.
Higher fuel costs are raising grain shipping expenses. RealAg Radio’s Shaun Haney discusses how energy market disruptions are impacting farmers in new ways as the War in Iran continues.
Labor supply may shift, but uncertainty remains for producers.
University of Tennessee Institute of Agriculture students traveled to Italy to study Roman and medieval construction, gaining a unique global educational experience.