WILLAGRI
China is strengthening its ties with Brazil, a major agricultural player, through Cofco International Ltd—one of Asia’s largest agribusiness companies—which will open a grain and sugar terminal at the Port of Santos in March. This initiative aims to secure Cofco a prominent position among global agricultural traders while diversifying China’s suppliers in response to potential U.S. tariff threats.
The new terminal will ship 8 million tons of Brazilian agricultural products in 2025, including 5.5 million tons of soybeans and corn, as well as 2.5 million tons of sugar. Cofco expects a cost reduction of 10% to 15% thanks to its own grain elevators, making the facility faster and more cost-effective than previous terminals. The terminal will enable the loading of two ships per day, compared to one ship every two to three days previously, and will welcome other traders starting next year.
Source: Bloomberg