Transport in Brazil will collapse, says Chorão, leader of truck drivers

Leader of truck drivers during the 2018 demonstrations, Wallace Landim, the Cry (featured photo)he said, in a conversation with the metropolisesthat transport in Brazil will collapse.

On Tuesday (5/10), Petrobras raised the price of diesel sold to refineries by 8.86%. The average value of the fuel went from R$4.51 to R$4.91, according to the company.

“The transporter is stopping naturally. Transport will collapse. It cannot pass on everything, but some part passes it on, and that goes to the supermarkets”, said Chorão, who is also president of the Brazilian Association of Motor Vehicle Drivers (Abrava).

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The price of gasoline has an explanation! Some indices are responsible for the value of a liter of gasoline, which is passed on to the consumer when filling up.Getty Images

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There are four taxes levied on fuel sold at gas stations: three federal (Cide, PIS/Pasep and Cofins) and one state (ICMS)Getty Images

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In the case of gasoline, according to data from the National Agency of Petroleum, Natural Gas and Biofuels (ANP), the composition of the price at the stations is based on a percentage on top of each tax.Getty Images

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The pump price incorporates the tax burden and the action of other agents in the marketing sector, such as importers, distributors, resellers and biofuel producers.Getty Images

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In addition to Petrobras’ profit, the final value depends on international movements in relation to the cost of oil, and ends up being directly influenced by the situation of the real – whether it is more valued or devaluedGetty Images

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The composition, then, is as follows: 27.9% – state tax (ICMS); 11.6% – federal taxes (Cide, PIS/Pasep and Cofins); 32.9% – Petrobras profit; 15.9% – cost of ethanol present in the blend and 11.7% – fuel distribution and resaleGetty Images

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The rise of the American currency in the exchange rate, for example, increases the price of fuel and can be considered the main villain for the consumer’s pocket, since Brazil imports oil and pays the value of a barrel in dollars, which corresponds to more than BRL 400 in current conversion Getty Images

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The ICMS rate, which is statewide, varies from place to place, but, on average, represents 78% of the tax burden on alcohol and diesel, and 66% on gasoline, according to studies by Fecombustíveis.Getty Images

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The truck driver will come to Brasília this Thursday (5/12) to talk to parliamentarians, in search of a solution.

Last Monday (9/5), Chorão indicated to the metropolises that the category is studying the possibility of promoting an act against the state company. “We saw Bolsonaro’s latest position asking Petrobras to lower the price of fuel. We saw the indignant president. So, is he asking the people to go out and put pressure on Petrobras?” he asked.

President Jair Bolsonaro (PL) again harshly criticized the company last Thursday (5/5).

During a live broadcast on social media, the federal chief executive said that it is a “crime” and a “rape” for the company to make an “abusive” profit in times of crisis. “I make an appeal: Petrobras, don’t break Brazil”, pleaded the president, shouting.

The Union of Autonomous Road Transporters of Goods of Espírito Santo (Sindicam-ES) announced that autonomous truck drivers in the state will go on strike from 00:01 on Wednesday (11/5).

The National Confederation of Autonomous Transporters (CNTA) stated that, after the increase in the price of diesel announced by the oil company, “joint action is needed by all sectors that depend on fuel for the exercise of their economic activity”.

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