Top 5 Tips for Shipping to Brazil
Brazil's import regulations can be complex. Our experts share essential tips for smooth customs clearance, proper documentation, and avoiding delays when shipping to Brazilian ports.
Introduction
Brazil is Latin America's largest economy and offers tremendous opportunities for Canadian exporters. However, Brazil is also known for having some of the most complex import regulations in the region. Follow these five essential tips to ensure your shipments clear Brazilian customs smoothly.
Did you know?
Brazil is Canada's largest trading partner in South America, with bilateral trade exceeding $8 billion annually. The market potential continues to grow as Brazil's middle class expands.
Tip 1: Understand Brazil's Import Documentation Requirements
Brazilian customs requires extensive documentation, and missing paperwork is the number one cause of delays.
Essential Documents
- •Commercial Invoice - Must be in Portuguese or accompanied by a certified translation
- •Packing List - Extremely detailed, including all contents and weights
- •Bill of Lading - Ocean or air waybill with complete shipper and consignee details
- •Certificate of Origin - Required for preferential duty treatment
- •Import License (LI) - Required for certain products before shipment
Pro Tip
Work with your Brazilian importer to verify documentation requirements at least two weeks before shipping. Some products require pre-approval from Brazilian regulatory agencies like ANVISA (health products) or INMETRO (electronics and manufactured goods).
Tip 2: Plan for Extended Customs Clearance Times
Brazilian customs clearance typically takes 7-15 business days, significantly longer than most other Latin American countries. During peak seasons or with physical inspections, clearance can extend to 3-4 weeks.
Why It Takes Longer
- •Extensive document verification requirements
- •Higher rates of physical inspections (red channel - canal vermelho)
- •Complex tariff classification system
- •Multiple regulatory agency involvement for certain products
Planning Strategy
Build extra time into your delivery schedules. If your customer needs goods by a specific date, ship at least 6-8 weeks in advance for ocean freight, or 3-4 weeks for air freight.
Did you know?
The Port of Santos processes over 4 million containers annually, making it the busiest port in Latin America. Despite its size, customs clearance can still take 2-3 weeks during peak seasons.
Tip 3: Get Your HS Code and Valuation Right
Brazil uses the NCM (Nomenclatura Comum do Mercosul) classification system, which is based on the international HS code but includes additional digits specific to Mercosul countries.
Valuation Scrutiny
Brazilian customs intensively scrutinizes declared values and will compare them against reference databases. Significant deviations can trigger:
- •Automatic red channel inspections
- •Value challenges and adjustments
- •Penalties for undervaluation
- •Delays while values are disputed
Best Practice
Consult with an experienced Brazilian customs broker to verify your NCM classification and ensure your invoice values are defensible. Include detailed product specifications that justify the declared value.
Tip 4: Understand Brazil's High Import Costs
Brazil has some of the highest import duties and taxes in Latin America. Many Canadian businesses are surprised by the total landed cost.
Cost Components
- •Import Duty (II) - Typically 10-35% depending on product category
- •IPI (Industrialized Products Tax) - 0-50%, depending on product type
- •PIS/COFINS - Federal taxes totaling approximately 11.75%
- •ICMS (State VAT) - 17-18% in most states
- •Merchant Marine Renewal Tax (AFRMM) - 25% of ocean freight cost
Total Tax Impact
When calculated cumulatively, total taxes and duties can easily exceed 60-80% of the CIF value. Factor these costs into your pricing strategy from the beginning.
Mitigation Strategies
- •Explore ex-tarifário programs for capital goods without Brazilian equivalents (can reduce duties)
- •Consider local assembly or manufacturing if volumes justify it
- •Investigate free trade zone benefits in Manaus for certain electronics
Did you know?
Brazil's import tax structure is designed to encourage local manufacturing. The Manaus Free Trade Zone offers significant tax incentives, with some products eligible for up to 88% reduction in import taxes if assembled locally.
Tip 5: Work with Experienced Brazilian Partners
Given Brazil's complexity, partnering with experienced logistics providers and customs brokers is essential for success.
What to Look for in a Customs Broker
- •Licensed Brazilian customs broker (Despachante Aduaneiro)
- •Experience with your specific product category
- •Established relationships with regulatory agencies
- •Bilingual capabilities (Portuguese and English)
- •Proven track record of successful clearances
Freight Forwarder Selection
Choose a freight forwarder with:
- •Strong presence at Brazilian ports (Santos, Paranaguá, Rio de Janeiro)
- •Network of trusted customs brokers throughout Brazil
- •Experience with Canadian-Brazilian trade lanes
- •Technology for real-time tracking and updates
Additional Considerations
Port Selection
Port of Santos handles about 40% of Brazil's container traffic and generally has more efficient processing than smaller ports. However, consider the final delivery location - sometimes using a closer port saves on inland transportation costs and time.
Labeling Requirements
Products must have labels in Portuguese that include country of origin, importer information, and product specifications. Electronic items need INMETRO certification labels.
Insurance
Given the extended clearance times and inspection risks, comprehensive marine or air cargo insurance is highly recommended for Brazilian shipments.
Metro Shippers' Brazil Expertise
Metro Shippers has successfully handled hundreds of shipments to Brazil. Our network includes trusted customs brokers in all major Brazilian ports, and our team understands the intricacies of Brazilian import regulations.
We provide:
- •Pre-shipment documentation review and compliance verification
- •NCM classification assistance
- •Coordination with Brazilian customs brokers and regulatory agencies
- •Accurate duty and tax estimates
- •Real-time tracking and proactive communication throughout the clearance process
Get Started with Your Brazilian Shipments
Don't let Brazil's complexity prevent you from accessing this important market. With proper planning and expert support, shipping to Brazil can be straightforward.
Contact our Brazil specialists at info@metroshippers.com or sales@metroshippers.com