BRAZIL July 10 2017 3:27 PM
BRAZILIA (Scrap Register): The Brazilian government has officially announced that they have renewed their allocation of P1020 Aluminum ingots, sows and t-bars duty free imports. Until June 31, 2018 the allotted duty free import are 173000 mt which came to effect on Friday.
In the current situation the allotted duty free imports has already been imported by mid May. As per the official confirmation, the available volume is 346000 mt, which includes imports done under a Camex resolution that reduced the August 2016 August 2017 allocation to 173000 mt from 240000 mt previously.
Brazil imported about 220472 mt of primary Aluminum including both P1020 and billets during the period of July 2016 to June 2017. The expiration of the allocation has lead to a deadlock to the primary aluminum import spot market in Brazil.
Most of the consumers were prepared in anticipation of this move, but some consumers of term contracts were affected. Those customers, who were not aware of this and their ship was on the way had to pay about 6 percent imports duty over the price.
