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Brazil faces storage and transport bottlenecks for grain harvests
Brazil has a structural storage deficit of 135 million tonnes and relies on road freight, with estimates showing road moving 66% of freight in 2025.
Brazil’s fast-growing grain and oilseed production is straining the country’s agricultural logistics, according to a report from the Foreign Agricultural Service (FAS) of the US Department of Agriculture.
The FAS said storage is the most significant vulnerability, citing a structural deficit of 135 million tonnes in Brazil’s production chain. The report estimates Brazil stores only about 62% of output, with just 17% of storage capacity located on rural properties, while the US can store 150% of production with 65% on farm.
With limited storage, producers often need trucks when freight costs are high, forcing them to sell harvests immediately and creating pressure on transport infrastructure. The FAS noted Brazil exports primarily depend on road transportation, and the country is operating with an estimated surplus of 70,000 trucks on long-distance routes.
The report also pointed to an ongoing shift in logistics mix, with rail at 25% of freight movement in 2025, waterways at 9%, and road at 66%. To reduce costs and logistical constraints, the agribusiness sector has used a backhaul strategy, where fleets return from ports with fertilizer to production regions, especially in the Northern Arc.