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Cargo Theft Intelligence ReportBrazilQ1-2021

sensitech.com Brazil Cargo Theft Report Q1-2021 2

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HIGH

Brazil—Cargo TheftQ1-2021

Introduction

According to the latest publication by NTC & Logística (National Association of Cargo Transport and Logistics), the states of São Paulo and Rio de Janeiro together account for 76% of cargo thefts in Brazil. In the first quarter of this year, both states continued a decline in the number of thefts.

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State of São Paulo

According to the Public Security Department of the State of São Paulo, the state registered 1,668 cases of cargo theft in Q1-2021, a 1% decrease from Q4-2020 and a 2% decrease from Q1-2020.

The regions of the state that showed the greatest increase in cargo theft compared to Q1-2020 were Presidente Prudente (300%), Bauru (275%) and São José do Rio Preto (200%). The regions with the largest declines were Santos (-21%), the City of São Paulo (-14%), and Campinas (-14%).

The Dutra (BR-116) and Anhanguera (SP-330) highways are among the roads with the highest number of cargo thefts in the state.

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Brazil—São PauloCargo TheftQ1-2021

São Paulo—Incidents Q1-2020 & Q1-2021

Region Q1-2020 Q1-2021 Percentage Change

Capital 896 773 -14%

Greater São Paulo 429 523 22%

Araçatuba 2 2 0

Bauru 4 15 275%

Campinas 152 131 -14%

Piracicaba 53 51 -4%

Presidente Prudente 2 8 300%

Ribeirão Preto 27 46 70%

Santos 72 57 -21%

São José do Rio Preto 2 6 200%

São José dos Campos 28 32 14%

Sorocaba 27 24 -11%

State Total 1,694 1,668 -2%

Source: São Paulo Department of Public Security

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Brazil—Rio de JaneiroCargo TheftQ1-2021

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State of Rio de Janeiro

According to data from the Public Security Institute of the State of Rio de Janeiro, the state accounted for 1,111 cases of cargo theft in Q1-2021, a 3% decrease from Q4-2020 and an 18% decrease from Q1-2020.

All regions of the state showed a decline when compared with Q1-2020, led by the North and Northwest RJ State regions (85%), South RJ State (47%) and the City of Rio de Janeiro (27%).

The highways with the highest numbers of incidents were BR-116 (Dutra), BR-040 (Washington Luis) and BR-101.

Brazil—Rio de Janeiro Thefts by Region Q1-2020 vs. Q1-2021

Q1-2020 Q1-2021

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Source: Institute of Public Security of Rio de Janeiro

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General Considerations

The most commonly stolen products in Brazil in the first quarter were Miscellaneous, Food & Drinks, Tobacco and Electronics. The most common type of event was Hijacking, which accounted for 93% of cases. Most thefts occurred in urban areas (71%) and in the morning (44%).

Miscellaneous 43% Food & Drinks 18% Tobacco 12% Electronics 8% Agricultural 6% Pharmaceuticals 4% Building & Industrial 2% Alcohol 2% Metals 2% Auto & Parts 1% Home & Garden 1% Clothing & Shoes 1%

Brazil—Cargo Theft by Product TypeQ1-2021

Hijacking 93% Theft by Driver 2% Attempted Hijacking 2% Facility Theft 2% Pilferage 1%

Mornimg 44% Afternoon 27% Unknown 16% Evening 13%

Brazil—Cargo Theft by Event TypeT1-2021

Brazil—Cargo Theft by Time of DayQ1-2021

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Brazil—Cargo Theft by LocationQ1-2021

Urban Area 71% Highway 15% Unknown 8% Gas Station 2% Company Premises 2% Destination 2%

Final Considerations

The states of São Paulo and Rio de Janeiro have shown a reduction in cargo thefts since 2018. In the state of São Paulo, however, that declining trend has tailed off when compared to the previous quarters, and more regions are starting to show a significant increase in the number of cases. Actions by the police to combat cargo theft and private investments in security and risk management in cargo transportation are undoubtedly factors that have contributed to the reduction of cargo theft across Brazil.

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About Sensitech Security Services DataUnless otherwise noted, the theft statistics in this assessment are derived from data collected by the Sensitech Supply Chain Intelligence Center (SCIC) and other information collected from reliable sources. The SCIC captures cargo theft and supply chain risk data from numerous sources around the globe. These include, but are not limited to, the databases of Sensitech’s Security Services, its customers, law enforcement agencies, industry organizations, insurance industry sources, and news reports. This report offers an analysis of the data collected during Q1-2021, providing insight into cargo theft and supply chain risk across the globe.

Please note that cargo theft goes largely unreported; as such, total theft figures for a particular country or region are likely higher than stated. In addition, global cargo theft circumstances and risks change, sometimes frequently and quickly, and in ways that may make the facts and opinions expressed here no longer valid. Therefore, the extent to which organizations rely on the information provided in this assessment should be solely at their discretion.

About Sensitech Security Services

Sensitech Inc. is a leading provider of global logistics security services, offering tracking and monitoring solutions that provide organizations with cargo security, transparency and supply chain integrity from origin to destination. Using real-time visibility technology and layered solutions, organizations can actively monitor their cargo anywhere in the global supply chain to mitigate the risks associated with theft, spoilage, counterfeiting and more. With operations across the globe, Sensitech is uniquely positioned to deliver services regionally across diverse supply chains.

In Brazil, Sensitech Security Services has been innovating, and brought the EFS Program (Electronic Freight Security) to the local market, helping to ensure the security of your cargo, based on a modern vision combining technology and processes, thereby expanding on the concept of security. The program works with the incremental use of technology, replacing the use of guards, an activity that exposes the guards potential risks, and also exposes the Shipper to the risk of labor claims. EFS minimizes the risk of financial losses throughout the entire operation. The EFS Program values merchandise security, and the human aspect involved, enabling the Shipper to reduce direct and indirect costs.

Sensitech is focused on delivering supply chain visibility solutions that track, monitor and protect products for global leaders in the food, life sciences, consumer goods, and industrial markets. Our solutions are focused in three key areas: cold chain, supply chain security, and logistics performance management. Cold chain solutions address temperature-sensitive, complex supply chains focused on delivering the highest quality possible, while our supply chain security solutions help to mitigate risks associated with theft, diversion and chain of custody. Sensitech’s logistics performance solutions deliver origin-to-destination, real-time transparency to any in-transit journey. Sensitech is an ISO 9001:2015 company, headquartered in Beverly, Mass., with over 35 sales, service and distribution locations around the world. Sensitech is a Carrier company, a leading provider of heating, air conditioning and refrigeration systems, building controls and automation, and fire and security systems leading to safer, smarter, sustainable and high-performance buildings.

More information about Sensitech is available at www.sensitech.com

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8 Jun 2021