Platts proposes to introduce dry season IPP cost adjustments for Manaus from July 20

Platts, part of S&P Global Energy, proposes to introduce a seasonal adjustment to its import parity prices for ultra low sulfur diesel (BUMAB00), jet fuel (BJMAB00) and gasoline (BGMAB00) at the northern port of Manaus, Brazil, to reflect additional logistics costs incurred during the Amazon River dry season, effective July 20, 2026.

Vessels coming into Manaus during the dry season, typically between September and December, often need to start relieving cargo volumes due to lower draft at the Tabocal stretch of the river voyage. That happens at the nearby Itacoatiara port, before the vessel can reach Manaus.

When the draft falls below the standard depth (11.5 meters), part of the cargo must be offloaded and transported separately via barge. The ratio between river depth and cargo relief requirements is nonlinear, and the magnitude of the relief depends on how severe the drought is in that year.

Additional ship-to-barge costs at Itacoatiara can reach up to Real 35/cubic meter, while barge freight carries a Real 60/cu m premium, totaling Real 95/cu m.

The adjustment would be calculated based on the proportion of cargo requiring transshipment, with costs varying at key river depth thresholds as shown below:

The adjustment formula would be: IPP Adjustment (Real/cu m) = (% cargo relieved) × Real 95. Platts will also monitor port demurrage changes in the region that eventually stem from the dry season to adjust costs accordingly.

The IPPs for ultra low sulfur diesel, jet fuel and gasoline in Manaus appear in Latin American Wire and on fixed page 166 of Platts Global Alert (PGA) and Platts Refined Products Alert (PRF), with their weekly averages published in Platts Brazil Fuels Weekly and its Portuguese version Platts Combustíveis Brasil, as well as on PGA and PRF fixed page 168.

Please send all comments, feedback, and questions to americas_products@spglobal.com and pricegroup@spglobal.com by June 22, 2026.

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