Amaggi, Bunge, Cargill, LDC and Sartco intend to create a transport company

Amaggi Exportação e Importação Ltda., Bunge Alimentos S.A., Cargill Agrícola S.A., Louis Dreyfus Company Brasil S.A. and Sartco Ltda., due to logistical challenges faced in the origination of agricultural products, decided to join forces to improve services. The agreement that provides for the creation of a a joint venture was formalized this year. Implementation depends on authorization from the competent administrative bodies.

According to company sources, the initiative mainly aims to resolve inefficiencies observed during harvest periods, in which delays occur in the transport of agricultural products destined for export. These problems result in additional costs and inabilities related to late loading of ships transporting products abroad.

With the establishment of the a joint venture, the companies intend to provide a specific number of trucks, along with drivers, which will be managed individually by each of them. The idea is for each company to maintain its autonomy and operational independence, without direct interference from other participants.

The intention is that the joint venture will meet only a part of the demand for road freight transport of the companies involved, while the remaining demand will continue to be supplied by its own freight transport companies and third-party service providers.

It is worth highlighting that Sartco Ltda. is part of the Archer Daniels Midland Group (ADM Group) and has extensive operations in grain origination, soybean processing, palm cultivation, production of vegetable oils, biodiesel, special ingredients and animal nutrition.

Amaggi Exportação e Importação Ltda. is part of the Amaggi Group, with global operations in the production, cultivation, processing and marketing of agricultural commodities, in addition to being involved in logistics and electrical energy activities.

Bunge Alimentos S.A. is known for its services in the agribusiness and food sectors, ranging from the origination of grains to the production of food for final consumption.

Cargill Agrícola S.A., in turn, offers a wide range of food and agricultural products and services, such as exporting soybeans and corn, crushing soybeans and supplying inputs for the food industry.

Louis Dreyfus Company Brasil S.A., part of the Louis Dreyfus Group, has a strong presence in the global trade and processing of agricultural commodities, including soybeans, corn, coffee, cotton and orange juice.

Update on the case can be read here: "Cade approves transport “joint venture”".