Raízen announces discontinuation of bunker operations at key Brazilian ports

Raízen, one of Brazil's largest fuel distributors, has announced it will be discontinuing its bunker operations at the ports of Rio Grande, Salvador and Itaqui OPL, effective in April, according to a company statement sent to traders and seen by Platts, part of S&P Global Commodity Insights. The company, which has been a key player in the Brazilian bunker supply market, confirmed that fuel deliveries at these locations will cease after March 31.

"Raizen is leaving the market, they will operate until March 31," told another bunker trader operating in the Brazilian market on March 13.

The statement assured its customers that it remains committed to providing the necessary support during this transition. The company emphasized that deliveries of Low Sulphur Marine Gas Oil (LSMGO) will continue in Rio de Janeiro, ensuring a steady supply for marine customers in that region.

"With the new board, they are leaving markets that are not in the core business, mainly the markets where they are losing money; bunker is one of them," the trader added.

The company did not immediately respond to Platts' request for comments.

Platts assessed Rio Grande Marine Fuel 0.5%S prices at $525/mt on March 13.