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Regulatory Review Announced will Impact Shipping Industry

In federal administrative law, regulatory review refers to processes used by Congress, the president, and the courts to oversee the rules, regulations, and other policies issued by federal agencies.

Brazilian Comex and Shipping Players know how difficult is to be in compliance with all the rules imposed as a way of “controlling” the activity.

Recently a decree was issued stablishing a revision of federal rules and regulations. The laws currently in force will be repealed, simplified and republished within 18 months.

The measure is being called, behind the scenes, “Revisaço” and aims to reduce costs with unnecessary burocracy and regulations in between 160-200 billion reais.

The review will update, simplify and consolidate the regulations. The idea is to eliminate outdated rules and simplify the regulatory landscape, ensuring greater legal certainty for entrepreneurs and investors.

On Comex, we currently have importers and exporters who must comply with regulations that are published, almost daily, by each of the various agencies involved in foreign trade.

Players are subject to heavy penalties (fine, cargo forfeitur, closure of the company, among others) if they fail to comply with all accessory obligations.

On the other hand, we have the entire Shipping chain that has the obligation to provide numerous information, since the arrival of the ship, operation, departure, port of origin, port of final destination, being required to feed SISCOMEX Cargo and Port without Paper. They are also subject to various penalties. Among them, the fine of R$ 5,000 that worries maritime agents and, although illegal is one of the great reasons for the “Brazilian Cost”.

It is obvious the importance of the public agencies regulation and that the sectors have some kind of control.

However, the great truth is that players in the industry suffer from the numerous obligations created over the years.

Therefore, the “Revisaço” demonstrates the Government’s concern with the players wishes to reduce bureaucracy and the costs of foreign trade.

The final result of the consolidation is expected to come out in 2021. After the end date, taxpayers will no longer be subjected to fines based on outdated rules.

The process of review and consolidation of the rules can be suggested by any interested party, through the Federal Executive Branch Ombudsman System.

Brazilian Law Office is Finalist for Lloyd’s List Americas

Promare is among the seven finalist offices of the international award, organised by Informa Group, the Lloyd´s List Americas Awards. The law firm competes in the “Maritime Law Excellence” category and the result will be announced at a ceremony in Houston on September 24.

The law firm is based in North-Northeast Brazil and is competing for the Americas prize against the largest law firms in the United States, being the only Latin American law firm on the finalist list. This is the top prize in the entire Shipping industry.

Lloyd’s List Americas is the industry awards program that recognises and rewards excellence in all fields of the maritime industry. Through extensive research with players in the segment, Lloyd’s publishes a list of finalists, who are judged and chosen as the best by a community of associations and industry leaders, making the Lloyds List Awards a highly desirable award of distinction.

The exclusive maritime event will feature two expert-led discussions on how marine fuels have advanced and how they meet decarbonisation targets, coupled with the presentation of awards judged by a panel of data-proven associations and industry leaders.

The law firm was founded in 1999 focused on maritime commerce based in the north- northeast of Brazil with national and international reach. The law firm provides advice on maritime commerce with simple but legally safe business transactions, offering a pragmatic approach to all the areas that are strategic to the operation and expansion of a businesses in this sector.

Promare is a dynamic, modern office with traditional values based on commitment, proactivity, passion, integrity, strategic vision and results.

The North-Northeast runs through our veins and in recent years we have been hard at defending the logistics of Northern Arc and the players that use it. We operate in the region in Emergency Response system 24 hours a day, 7 days a week, in situations of Shipping casualties and incidents.

We are extremely honoured to be part of the Lloyd’s List Americas 2019 exclusive shortlist. We thank all our staff for their excellent work and all our clients and partners for their trust. Honoured to be representing our country and the North-Northeast region!

Dock Company Added To Privatisation Program

A dock is the area of water between or next to one or a group of human-made structures that are involved in the handling of boats or ships or such structures themselves. The exact meaning varies among different variants of the English language.

After first commanding an ordinary meeting of the Investment Partnership Program on Wednesday, August 21, the Minister Onyx Lorenzoni, announced that the São Paulo State Dock Company was included in the National Privatisation Program.

The minister emphasised that a Brazilian delegation led by the national secretary of ports, Diogo Piloni, is visiting Australia to understand details about conducting the desaturation studies of the ports of Melbourne, Brisbane, Darwin and Sydney, produced by PwC, one of the largest companies of audit and consulting firm.

The leader of the infrastructure portfolio also recalled that Brazil.

The aim, according to him, is to reach the best format for the country. PPI Special Secretary Martha Seillier said it is not yet possible to estimate the amount of investments related to concessions and privatisation at the Port of Santos.

The São Sebastião, Espírito Santo dock companies and Suape Industrial and Port Complex in Pernambuco have already been included in the PND at previous meetings.

Other important state-owned companies such as Correios and Eletrobras were also qualified for a future transfer to private enterprise. Modelling the sales format of each company will go through long study processes, which will hardly be less than 18 months.

In just over three years of operation, PPI qualified 248 projects, 151 of them already auctioned. The expectation of the Federal Government is to stimulate R$ 262.5 billion in investments in the coming years, in addition to raising grants of approximately R$ 52 billion.

New Port Fee will Be Imposed at The Port of Itaqui in Brazil

Port charges are the fees that shipping operators and their customers pay to port authorities for the use of the port’s facilities and services. Port charges can be a significant component (up to several percent) of the final price of consumer goods.

The EMAP – Empresa Maranhense de Administração Portuária, port authority which runs the Port of Itaqui, in São Luís, Maranhão, Brazil has warned shipowners, charterers and their representatives that a new port fee will be imposed as from March, 1st, 2019.

Port of Itaqui is a Brazilian port located in the city of São Luís, Maranhão. It is not to be confused with the city of Itaqui, in the state of Rio Grande do Sul, near the border with Argentina. The main cargoes include aluminum ingots and bars, pig iron, general, dry and liquid bulk cargoes, soybean and copper.

The fee will impact local trade and shipping activities in all private terminals of the region.

This fee is BRL 0,44 p/ DWT and will be charged for ships that use the common navigable areas of São Marcos Bay to access the Ponta da Madeira Terminal, the Alumar Terminal and any other Private Use Terminal that may be installed in the region.

Promare is a multidisciplinary consultancy, based in Ceará and with national and international operations, founded in 1999. Our services have a pragmatic approach to strategic business consulting. We are focused on promoting freedom and security in our clients’ business relationships, fostering business with the necessary confidentiality.

The legality of such fees has been questioned. Our team of the São Luís Office is already preparing a deep analysis of the situation.

We at Promare Consultoria, Promare Cobranças and Rabb, Carvalho Advocacia are prepared to cover the needs of our clients. Together, we work in the search for greater legal certainty in comex and shipping transactions.