Strike at the Federal Revenue may make fuels more expensive in January, says Abicom

Fuels could get even more expensive this January, according to the Brazilian Association of Fuel Importers (Abicom).

In a statement sent to CNN, Abicom states that the impacts of the standard operation of the auditors of the Internal Revenue Service can lead to an increase in fuel prices or even a shortage of supplies in the domestic market.

About a week ago, the Association had already declared to commercial partners that the strike by Revenue employees was causing “sensible delays in the release of imported fuels”.

In a new report, Abicom highlighted that the release of imported cargo is already taking more than 10 days, a period five times longer than normally processed.

“Delays in releases lead to longer storage time of products in the port terminals’ tanks, generating increases in storage costs, as well as, with the retention of cargoes in the terminals’ tanks, the lack of space for receiving future ships is increased” , he stated.

The statement points out that the operating costs of a stationary ship are around US$ 22,000 (about R$ 125,000, at current prices) per day.

According to the organization, national refineries are unable to meet 100% of the demand for the main oil-derived fuels, “it is necessary to import significant volumes to ensure supply.”

Import was the resource used by distributors after Petrobras announced that it would not be able to supply all the demand from distributors in November and December, which will also reflect in January.

“Delays in the release of imported products will reduce the availability and supply of fuel to meet distributors’ orders, increasing the shortage during the month of January 2022”.

“Abicom warns that, maintaining the standard operation now established by the auditors of the Federal Revenue, there may be an increase in fuel prices offered to consumers, with the risk of occasional shortages, even in January 2022”, completed the Association, in a note.