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Cabotage.

Understand the advantages of cabotage in maritime transport and the difficulties of implementing it.



Definition of Cabotage


Cabotage is the transportation of goods and passengers between ports in the same country, using vessels (usually ships) to travel along coastal routes. In Brazil, this means the maritime transportation of cargo between the various ports located along its extensive coastline, without the ship needing to leave the country's territorial waters.


Advantages of Cabotage in Brazilian Maritime Transport


Cabotage has several advantages, especially in the context of Brazilian maritime transport:


1. Cost Reduction: Transporting goods by coastal shipping tends to be cheaper per ton and distance than road transport, due to the greater cargo capacity of the vessels.

2. Relieving Road Congestion: Cabotage helps to reduce the overload on road transport, which in Brazil is extremely dependent on trucks, which leads to congestion, accidents and high operating costs.


3. Sustainability: Maritime transport is more efficient in terms of fuel consumption per tonne-km compared to road transport, which reduces CO₂ emissions. This helps Brazil reduce its carbon footprint and meet environmental commitments.


4. Reduction of Polluting Gas Emissions: The use of vessels in cabotage can be less polluting per ton transported than road transport, especially when comparing trucks and ships.


5. Increased Competitiveness: By stimulating maritime transport, cabotage can make the market more competitive, allowing products to reach consumers at lower prices and increasing exports.


6. Regional Development: Cabotage can help develop regions that are less accessible by land, as it facilitates the transportation of products between remote regions. This is particularly important in a large country like Brazil.


7. Relieving Logistical Pressure: Given the large volume of cargo in Brazil, cabotage can relieve pressure on the busiest ports and even on the rail and road network, improving the efficiency of product flow.


Difficulties in Implementing Cabotage in Brazil


Despite its many advantages, cabotage faces some difficulties in being widely adopted in Brazil:


1. Insufficient Port Infrastructure: Many Brazilian ports are not yet adequately equipped to receive large volumes of cabotage cargo. The lack of supporting infrastructure, such as efficient terminals, storage systems and adequate equipment, limits operational capacity.


2. Lack of Investment in the Maritime Sector: Although cabotage is a viable option, the maritime sector in Brazil lacks investment in fleet modernization and transport infrastructure. The high cost of building and maintaining ships is also a limiting factor.


3. Restrictive Regulation: Cabotage in Brazil is restricted by laws that, for example, require that the vessels used be predominantly Brazilian (which reduces competitiveness and increases operating costs). This limits the flexibility of shipping companies.


4. Competition with Road Transport: Road transport, which is more agile and flexible, still dominates Brazilian logistics, especially due to the extensive road network. Cabotage requires more complex logistics planning, with additional costs and time, such as the need to transfer goods from ship to truck at the port.


5. Limited Route: Cabotage in Brazil, despite having an extensive coastline, faces limitations in its geographic coverage. Many ports are difficult to access, and some regions of the country are not adequately served by this modality, requiring supplementation with road transport.


6. Competition with Other Modes of Transportation: As Brazil has a large road and rail system, many companies still opt for other modes of transportation due to flexibility, speed and lower costs in certain regions.


7. Low Frequency and Supply: The supply of cabotage routes is not as wide as that of road transport. The low frequency of some routes may make this alternative less attractive, especially for urgent cargo.


8. Fleet Maintenance Cost: While ships may be more efficient in terms of cost per ton, the maintenance and operating costs of vessels are high, which can be a barrier, especially for smaller companies.


Perspectives for the Future


Despite the challenges, the Brazilian government has encouraged the expansion of cabotage as a solution to improve logistics and reduce the costs of transporting goods. This includes implementing tax incentives and creating new investment policies in port infrastructure.


Furthermore, the growing interest in more sustainable alternatives in the transport sector and the growing demand for a more integrated logistics system may lead to a gradual expansion of cabotage in Brazil, making it a more significant part of the country's transport matrix.


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