CHARGES for using the port of Santos in Brazil are to rise by 31.7 per cent ending a decade-long rate freeze.
Port authority Codesp's president Angelino Caputo de Oliveira has been campaigning for such an increase ever since taking up the post last April.
"Our tariffs have not been changed for more than 10 years and in some categories [electricity charges] for 19," said Mr Caputo de Oliveira, reported Newark's Journal of Commerce.
"With inflation running at more than six per cent now and totalling about 62 per cent over that 10 years, we have effectively had our income cut. A good sized increase is now due."
Permission to raise rates was granted this year by Antaq, the Brazilian national authority for ports and waterborne traffic, because of the port's "exceptional financial circumstances".
Port throughput fell by 2.3 per cent down to 111.16 million tons and profit fell nearly 85 per cent from BRL142.31 million (US$47.7 million) in 2013 to BRL21.66 million in 2014. When those figures came out in early March, the head of the port authority cut expenditure on all areas apart from dredging, which is considered a priority.
Mr Caputo de Oliveira said that if cargo volumes and port and Codesp operations continued in the way they did during the first three months of this year, the port authority would be in the red by September.
The increased tariffs will be applied immediately to all rates of Codesp, charges covering the use of the waterway infrastructure, including estuary channel, berths and nautical signalling services, as well as land-based infrastructure - the road system and rail connections. They will also apply to Codesp services provided to ships and terminals, including electricity and water supply and sewage treatment.
PORTS
14 May 2015 - 20:46
Santos port fees up 31.7pc as profit falls, ending 10-year fee freeze
CHARGES for using the port of Santos in Brazil are to rise by 31.7 per cent ending a decade-long rate freeze.
PORTS
14 May 2015 - 20:46
Santos port fees up 31.7pc as profit falls, ending 10-year fee freeze
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