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SUPPLY CHAININTELLIGENCE CENTER

Cargo Theft ReportBrazil

Introduction

Overall, Brazil continues to experience a drop in the number of cargo thefts.

Q2-2019

State of São Paulo

In Q2-2019, the state of São Paulo recorded 1,732 cases of cargo theft, a 22% decline compared to Q2-2018.

São Paulo—Thefts Q2-2018 vs. Q2-2019

Source: São Paulo Department of Public Security

Region Q2-2018 Q2-2019Percentage

Change

Capital 1,039 878 -15%

Greater São Paulo 559 437 -22%

Araçatuba 2 3 50%

Bauru 16 13 -19%

Campinas 160 65 -59%

Piracicaba 127 57 -55%

Presidente Prudente 7 2 -71%

Ribeirão Preto 36 41 14%

Santos 166 115 -31%

São José do Rio Preto 4 2 -50%

São José dos Campos 56 47 -16%

Sorocaba 35 29 -17%

State Total 2,207 1,732 -22%

sensitech.com Cargo Theft Report: Brazil Q2-2019 2

Only two regions showed an increase in the number of cargo thefts this past quarter: Araçatuba (50%) and Ribeirão Preto (14%). The largest declines occurred in the Presidente Prudente (71%), Campinas (59%), and Piracicaba (55%) regions.

2017 2018 2019

Jan

Feb

Mar

Apr

May Jun

Jul

Aug

Sep

Oct

Nov

Dec

0

200

400

600

800

1000

1200

Brazil—Cargo Theft by MonthSão Paulo, 2017– 2019

State of Rio de Janeiro

In Q2-2019, the state of Rio de Janeiro recorded 1,970 cases of cargo theft, a 18% decline compared to Q2-2018.

2018 2019

0

200

400

600

800

1000

Brazil—Cargo Theft by RegionRio de Janeiro, Q2-2018 & Q2-2019

Cap

ital

Flum

inen

seLo

wla

nds

Nite

rói &

Lake

s R

egio

nSo

uth

Flum

inen

se

Nor

th &

Nor

thea

stFl

umin

ense

Hig

hlan

d R

egio

n

Only two regions showed an increase in the number of cargo thefts: Fluminense Lowlands (4%) and South Fluminense (13%). The largest declines occurred in Niterói & Lake Region (34%) and North & Northeast Fluminense (23%).

sensitech.com Cargo Theft Report: Brazil Q2-2019 3

2017 2018 2019

Jan

Feb

Mar

Apr

May Jun

Jul

Aug

Sep

Oct

Nov

Dec

0

300

600

900

1200

1500

Brazil—Cargo Theft by MonthRio de Janeiro, 2017– 2019

General Considerations

Overall, Brazil has experienced a downward trend. The most commonly stolen products in Q2-2019 were Miscellaneous, Food & Drinks, Tobacco, and Electronics. Most thefts take place in urban areas, in the morning, by Hijacking. The highways with the highest numbers of incidents in Brazil are Anhanguera and Dutra.

Brazil—Cargo Theft by Product TypeQ2-2019

Miscellaneous 28%Food & Drinks 22%Tobacco 22%Electronics 8%Agricultural 6%Alcohol 4%Pharmaceuticals 3%Home & Garden 2%Fuel 2%Auto & Parts 1%Building & Industrial 1%Metals 1%28%

22%

22%

8%

6%

4%

3%

2%

2%

1%1%1%

Brazil—Cargo Theft by Event TypeQ2-2019

Hijacking 90%Attempted Hijacking 4%Facility Theft 3%Theft by Driver 2%Pilferage 1%

90%

4%

3%

1%2%

Brazil—Cargo Theft by LocationQ2-2019

Urban Area 65%Highway 23%Unknown 9%Company Premises 3%

65%

9%

23%

3%

Brazil—Cargo Theft by Time of DayQ2-2019

Morning 39%Afternoon 24%Unknown 22%Evening 15%

39%

24%

15%

22%

Brazil—Cargo Theft byLocation Subtype, Q2-2019

Street 61%Roadway 21%Unknown 9%Warehouse/DC 3%Gas Station 2%Destination 2%Others 2%

61%

3%

9%

21%

2%2%

2%

sensitech.com Cargo Theft Report: Brazil Q2-2019 4

% OF TOTAL AVG VALUE R$

Agro

Food

& D

rinks

Alco

hol

Hom

e &

Gar

den

Fuel

Bui

ldin

g &

Indu

stria

lPe

rson

al C

are

Mis

cella

neou

sEl

ectro

nics

Phar

mac

eutic

als

Met

als

Toba

cco

Auto

& P

arts

Clo

thin

g &

Shoe

s

0%

5%

10%

15%

20%

25%

30%

Brazil—Thefts by Product Type & ValueQ2-2019

R$ 0

R$ 300,000

R$ 600,000

R$ 900,000

R$ 1,200,000

R$ 1,500,000

R$ 1,800,000

Final Considerations

The drop in cargo theft levels should not lead companies to step down security efforts. Numbers remain high across the country; there are regions where the risk is high, and recent incidents continue to show that In-transit or stored cargo needs special attention. One example is the gold heist at Guarulhos Airport on 25 July, when a gang of armed men entered the airport’s cargo terminal and, in less than three minutes, left with approximately BRL 113 million (approximately USD $30 million) worth of gold. This incident highlights the fragile security situation of Brazilian airports, as well as the need for continued focus on security procedures and systems.

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@sensitech5 Aug 2019

The information contained in this document is the property of Sensitech Inc. This information may not be sold, licensed, or used for business development in any capacity without the prior written

consent of Sensitech Inc. Sensitech Inc. encourages recipients to use this information for cargo theft prevention activities and to share this information in its entirety with colleagues who may also benefit

in a theft prevention capacity.

About SensiGuard Security Services Data

Unless otherwise noted, the theft statistics in this assessment are derived from data collected by the SensiGuard Supply Chain Intelligence Center and other information collected from reliable sources. The Intelligence Center captures cargo theft and supply

chain risk data from numerous sources across the globe. These include, but are not limited to, the databases of SensiGuard 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 the Q2-2019, 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 SensiGuard Security Services

SensiGuard Security Services 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, SensiGuard is uniquely positioned to deliver services regionally across diverse supply chains.

In Brazil, SensiGuard 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.

SensiGuard Security Services is part of Sensitech Inc., a leading provider of supply chain visibility solutions. 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: quality and compliance, supply chain security, and logistics performance management. Quality and compliance 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 Inc. is an ISO 9001:2015 company, headquartered in Beverly, Mass., with more than 35 sales, service and distribution locations around the world. Sensitech is a part of UTC Climate, Controls & Security, a unit of United Technologies Corp., a leading provider to the aerospace and building systems industries worldwide.

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

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