A study by the Argentine Federation of Cargo Transport Business Entities (Fadeeac) obtained by CNN points out that 26% of truck drivers who use diesel in the country neighboring Brazil already wait more than 12 hours at gas stations to be able to fill up. Another 31% wait between 6 and 12 hours to leave with a full tank.
The survey began in April and has information from 43 transport chambers that make up the Federation, which represents about 4400 Argentine companies. Maps sent by the federation to the report show that between the 5th and 25th of May the situation worsened considerably. Before, there were only two regions with a high impact of shortages. Today there are eight regions.
The areas bordering Brazil, Uruguay, Paraguay, Bolivia and Chile are in the red zone, such as Entre Rios, Santa Fe, Corrientes, Misiones, Formosa, Salta, Tucuman and Jujuy.
“For several weeks, hundreds of trucks from Bolivia have been coming to the port of Campana to collect the fuel that the country imports. If you pay, fuel is available. Meanwhile, in Argentina we have trucks stranded on the side of the road, due to lack of diesel”, said Roberto Guarnieri, president of Fadeeac.
Reflections in the country
Experts heard by CNN point out that the situation in Brazil is different from Argentina, more comfortable and less risky. But they make two warnings for what is happening in the neighboring country. The first is that this needs to serve as an example so that the Brazilian government does not keep prices out of line with the market, so that there is no shortage of diesel here. And the second is the risk that truck drivers from Argentina will search for the product in Brazil, especially in the cities of Foz do Iguaçu (PR), Uruguaiana (RS) and São Borja (RS).
The sector consultant, Adriano Pires, argues that the neighboring country’s problem serves as a warning to the Brazilian government. “It affects us because there is no shortage in Brazil, so trucks from Argentina can come to supply here. In Brazil you have a much more solid structure in Argentina to avoid some types of shortages. There is no Petrobras in Argentina and besides Petrobras here you have other importers who have a responsibility towards the country. I am not an alarmist for lack of diesel, I am an alarmist that the government has to understand that the price of diesel will continue to grow,” he said.
“The price of diesel will go up for three reasons: the continuation of the war in Ukraine, the hurricane season in the US – which could be worse than last year and stop refineries in Louisiana – and the traditional increase in consumption for the second half of the year. because of agribusiness”, he adds.
President of the Brazilian Association of Fuel Importers (Abicom), Sérgio Araújo fears that Petrobras may not keep up with the international price, which would exacerbate the problem. The entity’s daily survey points out that diesel is out of date by 8%. He does not, however, see a risk of shortages in Brazil in the coming weeks.
“From the information received from the MME and the ANP, which receive daily data from agents working in the fuel supply chain, the supply situation is under control. Inventories are being monitored daily. So far, the problems reported are one-off,” he said.
“It is important that monitoring is maintained, as there are strong indications that in the second half of the year there will be an increase in demand and restrictions on supplies, especially diesel oil”, added Araújo.
For Petrobras advisor Marcelo Oliveira, the situation in Argentina serves as a warning to Brazil. “Let this serve as an example. In countries where governments meddle in the market there is a shortage of products,” he told CNN.
The diesel crisis in Brazil
Representatives of Brazilian distributors heard by CNN fear that the lack of fuel will arrive in the country in the same way, which could promote a crisis in the transport of cargo and passengers.
In a letter sent to the National Petroleum Agency on May 25, the president of Petrobras reports “a high risk of diesel shortages in the Brazilian market in the second half of 2022”. The letter was a decision taken at the Board of Directors meeting. Advisors present at the meeting pointed out to CNN that the greatest risk is really for September.
In a note, the ANP informed that “it has been acting diligently to anticipate risks to the national supply with diesel oil, which, at the moment, happens regularly” and that “it is dedicated to monitoring the situation and proposing measures that prove necessary. to guarantee the offer of the product”.
The Ministry of Mines and Energy says that “stocks of S10 diesel oil represent 38 days of importation. In other words, if imports of this fuel were stopped today, stocks, together with national production, would be enough to supply the country for 38 days”.
Source: CNN Brasil
I am Sophia william, author of World Stock Market. I have a degree in journalism from the University of Missouri and I have worked as a reporter for several news websites. I have a passion for writing and informing people about the latest news and events happening in the world. I strive to be accurate and unbiased in my reporting, and I hope to provide readers with valuable information that they can use to make informed decisions.
