HomePublicationsInsightsUncertainty X Informality in Cargo Transport

Uncertainty X Informality in Cargo Transport

There is no doubt that the road freight transport activity in Brazil has evolved over the last fifteen years. If we recall the diagnosis made by the CNT/Coppead in 2001, we noticed several actions that made the offer of this service a little more structured in the country. But certainly the structure of this activity is still far from ideal, especially in this period of economic depression.

Surveys carried out by the ILOS show that the level of formalization in hiring transporters decreased in 2015 compared to 2011. Fewer companies signed long-term contracts with their transporters, especially because demand was uncertain.

Figure 1 – Formal contract between companies

Source: Panorama ILOS – Cargo Road Transport in Brazil deputy ILOS

 

Periods of uncertainty make informality return. And this informality can be reflected in a reduction in the quality of the services provided. Fewer contracts mean fewer tracked service items and less quality assurance. A very negative vicious circle for this very essential activity.

Figure 2 – Performance indicators among companies

Source: Panorama ILOS – Cargo Road Transport in Brazil

 

References

<https://ilos.com.br/web/analise-de-mercado/relatorios-de-pesquisa/transporte-rodoviario-de-cargas/>

 

https://ilos.com.br

Managing Partner of ILOS, she holds a master's degree and a bachelor's degree in Production Engineering from the Federal University of Rio de Janeiro (UFRJ). With over 10 years of experience in Logistics and Supply Chain, she has worked on various projects, managing and participating in research related to the topic. She has published more than 20 articles in newspapers, magazines, periodicals and conference proceedings, and is co-author of several titles in the COPPEAD Collection published by Atlas and in the ILOS and CEL/COPPEAD Logistics Panorama Collection.

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