Regulation should drive cabotage sector forward in Brazil

The Maritime, Port, and Customs Law Summit is scheduled for Tuesday (29) at the Grupo Tribuna auditorium (Alexsander Ferraz/Arquivo AT)

Stimulating competition, reducing cargo transportation costs, and addressing sustainability concerns. These are some of the objectives of the Cabotage Transport Incentive Program (Federal Law 14.301/2022), known as BR do Mar, which still depends on regulation through a presidential decree.

The program is expected to promote the use of so-called "green vessels," a topic that will be discussed at one of the panels during the Maritime, Port, and Customs Law Summit, scheduled for Tuesday at 1:45 PM at the Grupo Tribuna auditorium.

Benefits During her participation at Intermodal South America, held last week in São Paulo, the executive secretary of the Ministry of Ports and Airports (MPor), Mariana Pescatori, emphasized that the program will bring benefits to cabotage navigation.

“We hope that President Lula signs the decree in May, consolidating the sector's expansion. The signing will ensure greater legal certainty and boost investments in green vessels.”

Context A participant in the panel closing the Maritime, Port, and Customs Law Summit, starting at 4:00 PM, Judge Frederico Messias, coordinator of the Maritime Law Study Center at the Escola Paulista de Magistratura, believes that the issues of sustainability and the opening of cabotage to foreign vessels need to be considered in the context of the current global geopolitical situation.

“The right to a healthy environment is a generational commitment. It is the duty of the present generation to care for the future generation, which must be upheld even without conventional obligations between countries. Environmental protection actions must be state policies”, he states.

According to him, cabotage navigation is of paramount importance to national security. “The state must adopt means capable of preserving alternatives that ensure the country's interests are protected on this issue”, he adds.

Law allows greater participation of foreign ships According to Patrícia Lia Brentano, product manager at Norcoast, a Brazilian cabotage company, Federal Law 14.301/2022 has already laid the foundation for changes in the sector, allowing greater participation of foreign vessels in Brazilian cabotage, which is vital given the current state of the country’s port infrastructure.

However, regulation via decree provides greater clarity and predictability. “The public consultation planned to define what constitutes a green vessel will allow for an open dialogue with the market, helping align expectations and ensuring the rules are applicable and effective”, she assesses.

Step According to Patrícia, these measures are seen as a positive step toward promoting sustainability in maritime transport and increasing sector competitiveness, while also aiming to reduce carbon emissions and improve energy efficiency.

“With the encouragement of cabotage use, we expect a reduction in reliance on road transport, which can lead to a more balanced and efficient logistics system, as well as reduce wear and tear on highways”, she concludes.

Check the schedule for the Maritime, Port, and Customs Law Summit

1:45 PM Registration

2:20 PM Panel: Navigation and the Chartering of Foreign Vessels Moderated by: Maxwell Rodrigues Participants:

Marcel Nicolau Stivaletti (partner at RMM Advocacia) Eliane Octaviano Martins (director of the Maritime Law Academy) Ingrid Zanella (president of OAB-PE and president of the National Maritime and Port Law Commission of the Federal Council of OAB) José Roberto Duque (head of commercial operations at Aliança Navegação e Logística) Bruno Stupello (director of port operations at Santos Brasil) Flávia Takafashi (director of the National Agency for Waterway Transportation) 3:30 PM Coffee Break

4:00 PM Panel: BR do Mar Decree Moderated by: Maxwell Rodrigues Participants:

Mariana Pescatori (executive secretary of the Ministry of Ports and Airports) Pedro Calmon Neto (lawyer at PCFA Advogados) Marcelo Sammarco (lawyer at Sammarco Advogados) Patrícia Lia Brentano (product manager at Norcoast) Frederico Messias (coordinator of the Maritime Law Study Center at Escola Paulista de Magistratura) Nathália Carolina Fritz Neves (lawyer at Salomão Advogados) 5:30 PM Closing