How do you strike a balance between paper costs and import costs?

How do you strike a balance between paper costs and import costs?

You’ve probably already heard that everything is a matter of balance, haven’t you? And this also applies to the import costs of the pulp and paper market.

Therefore, those who want to take advantage of the opportunities that the Brazilian scenario has to offer for these operations need to know how to keep the accounts balanced.

It is a fact that we are living in an atypical scenario, which reflects many changes in the economy and behaviors. This affects businesses on all sides, both those who want to sell and those who want to import.

So, due to our high experience in importing, we are sharing some tips that can contribute to those who want to improve financial health with negotiations and efficient transportation.

After all, we know the main needs of the market and we will share everything you need to do for this cargo to reach your business with minimal import costs!

The relationship of the Brazilian paper market and import costs

When navigating the opportunities that the pulp and paper market has to offer, it is important to know about Brazilian maritime shipping, one of the most important modes of transport when serving this segment.

In addition to the information we have already brought on the blog about paper imports, it is worth mentioning that, in the last ten years, according to a survey by the CNI (National Confederation of Industry), there has been a reduction of companies operating in Brazilian ports. Therefore, this has resulted in increased import costs, including increased freight.

Now, in addition, pulp and paper importers in Brazil also need to deal with the decrease in the number of ships available and scheduled stopovers, due to the effects of the pandemic.

To top it off, it is necessary to consider the fluctuations of the dollar in import costs. According to the study by economist Affonso Celso Pastore, shared by Valor Investe, the appreciation of the Brazilian Real will only be a reality in the face of future fiscal consolidation. That is, the Brazilian currency will remain weak in relation to the US dollar.

We must not forget the costs of the goods themselves. According to the Money Times, with data from Ágora Investimentos, future prices of Brazilian fiber pulp should reach USD 1,000 per ton, and prices of short fiber pulp can reach USD 800.

Also according to the study, the pulp cycle continues to increase, so he values should rise during the year. So, it is important to consider everything you can do to reduce import costs in this scenario.

How do you strike a balance between paper costs and import costs?
It is important to consider everything you can do to reduce import costs in the pulp and paper market.

How do you balance import costs from Brazil?

Correct planning

Reducing import costs through logistics planning is a reality, as we have already published here on the blog. Therefore, it is very important to be assertive when defining logistics partners and stipulating the flow of information and pulp and paper goods.

The more aligned those involved in the operations are, the less risks will threaten the activities, contributing to meeting deadlines, cost and quality of service.

So, before choosing any freight forwarder, consider your business references, level of services, available communication channels and the portfolio of solutions offered. All these factors will influence import costs.

 

Expertise in tax documents and requirements

To avoid customs fines, it is important to conduct a detailed tax analysis. To do so, rely on professionals with documentation experience so that the efficiency of international logistics is not affected.

It is also essential to check the variety of the long-term freight contract as well as freight contracts for this commodity, which when exclusive, guarantee financial advantages.

 

Extend networking

Another factor that influences the import cost is the way the freight forwarder relates to other professionals in the market.

This is because, when it presents a wide logistics networking network, it is easier to rely on solutions in each adversity presented. So the risks of high costs in unforeseen situations decrease.

Thus, knowing who to count on and the quality of care reflects on the economy when importing from Brazil.

 

Invest in technology

The more technology, the more agility and precision and the lower the import costs. Therefore, relying on modern tools for monitoring information, with the possibility of knowing the status of the cargo in real time, allows transportation to occur with more flexibility and savings.

 

You are about to find the balance between paper and import costs!

At DC Logistics Brasil, our team contributes to reducing the import costs of pulp and paper from the high market expertise.

This reflects in scalability to ensure space for the international logistics operations you need.

Furthermore, we present the best-cost benefit along with competitive conditions for everyone involved, from trading companies, to importers and final agents.

To learn how we can contribute to your paper imports, request a freight quotation with us with no commitment!

 

SOURCES:

CNI – https://noticias.portaldaindustria.com.br/noticias/economia/exportacao-de-conteineres-cresce-48-desde-2010-mostra-levantamento-da-cni/

Valor Investe – https://valorinveste.globo.com/mercados/brasil-e-politica/noticia/2021/03/08/alta-de-juros-ter-pouco-ou-nenhum-efeito-sobre-o-cmbio-diz-pastore.ghtml

DC Logistics Brasil https://dclogisticsbrasil.com/reduzir-custos-na-importacao/#:~:text=Para%20reduzir%20custos%20na%20importa%C3%A7%C3%A3o,fluxo%20de%20informa%C3%A7%C3%B5es%20e%20mercadorias.

Money Times – https://www.moneytimes.com.br/produtores-surfam-corrida-da-celulose-com-acao-a-disparar-ate-35/

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