July 05, 2006 - Source:
- ITTO's Tropical Timber Market Report
- Views:
- 1981
IBAMA went on strike in early May on pension plans for
retirees and career rights for employees. New shipments
were suspended as IBAMA was the entity authorizing
timber transportation and exports. Only activities related
to deforestation controls were operating. According to
the Lumber Union in Sinop, Mato Grosso, at least 50
exporting companies had products waiting to be
exported.
The Brazilian Association for Mechanically
Processed Timber (ABIMCI) got a judicial guarantee of
the companies’ right to export their products despite the
strike. However, in Northern Mato Grosso, only nine
companies are members of the association. Companies
claimed that the halt of shipments and contracts have
caused them financial losses and damage in market
credibility.
The IBAMA strike was over in early June but traders
reported backlog of work holding up the dispatch of
consignments which, in some instances, had been at the
docks for weeks awaiting shipment approval. Analysts
say that it might take few weeks for transport to restart
and shipments to get back to normal.
This situation has been compounded by strikes at the
customs authorities in some ports, causing further delays
in shipments. Storage at the ports was used at full
capacity, leading to the blocking of additional deliveries.