Hapag-Lloyd and Brazilian shipping and waterway logistics business Norsul have set up a new joint venture for container cabotage and feeder services.
The new business, Norcoast, plans to begin supplying container cabotage and feeder services at Brazilian ports in Q1 2024, based on a 50-50 agreement.
Norcoast will reportedly operate independently in the area, drawing on the strengths of both parent firms.
Andrés Kulka, Senior Managing Director Region Latin America at Hapag-Lloyd, said: “The Brazilian coastal transport sector is constantly growing and handled over 1.2 million TEU in 2022. Norcoast will offer integrated logistics as well as quick and efficient solutions for its customers – thereby taking advantage of the increasing demand in Brazil’s coastal shipping market.”
Angelo Baroncini, CEO of Norsul, explained: “The creation of Norcoast is an important milestone while it combines the expertise of Hapag-Lloyd and Norsul. Norcoast will promote access, additional capacity, and inclusion of companies in the use of coastal navigation as a transportation mode whilst being present in the largest ports in Brazil.”
Gustavo Paschoa, CEO of Norcoast, will lead the new joint venture, bringing with him substantial industry experience in the Brazilian transport and logistics sector, including past executive roles at Norsul, Damco, DSV, and Penske Logistics.
The cooperation between Hapag-Lloyd and Norsul has previously been accepted by the Administrative Council for Economic Defence (CADE), Brazil’s national antitrust authority.
The application to operate as a Brazilian shipping business (EBN) was also authorised by the Board of Directors of the Agência Nacional de Transportes Aquaviários (ANTAQ), clearing the way for entry into the market and expanding options for Brazilian clients.