{"id":92149,"date":"2024-12-09T18:24:40","date_gmt":"2024-12-09T21:24:40","guid":{"rendered":"https:\/\/murray.adv.br\/?p=92149"},"modified":"2024-12-09T18:24:56","modified_gmt":"2024-12-09T21:24:56","slug":"new-players-intensify-competition-in-brazils-fuel-distribution-sector","status":"publish","type":"post","link":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/","title":{"rendered":"New players intensify competition in Brazil\u2019s fuel distribution sector"},"content":{"rendered":"\n
Petronas enters the market and Texaco makes a return, while Larco, Ale, and SIM vie for top rankings<\/strong><\/em><\/h6>\n\n\n\n

<\/p>\n\n\n\n

<\/p>\n\n\n\n

<\/p>\n\n\n\n

12\/09\/2024<\/p>\n\n\n\n

\n\n\n\n

The entry of new brands into Brazil\u2019s fuel distribution market<\/strong>, such as Petronas and Texaco\u2014making a comeback after 16 years<\/a>\u2014along with the accelerated growth of medium-sized distributors, has shifted the balance of power in the sector in 2024.<\/p>\n\n\n\n

While BR (Vibra), Shell (Ra\u00edzen), and Ipiranga (Ultrapar) collectively hold over 50% of the market share, maintaining their positions in the rankings, the battle for the fourth spot has become more intense. Bahia\u2019s Larco has overtaken Minas Gerais-based Ale (Glencore) in fuel volume sales after months of fierce competition, as Rio Grande do Sul-based SIM (part of the Argenta group) has closed in boosted by the acquisition of TotalEnergies\u2019s distribution operations in Brazil<\/a>.<\/p>\n\n\n\n

As of October, and according to data from the National Petroleum Agency (ANP), Vibra Energia, formerly known as BR Distribuidora, leads with a market share of 21.7% in gasoline, diesel, and ethanol sales. Following are Shell\/Ra\u00edzen, with 18.6%, and Ipiranga, which signed a licensing agreement with Chevron to use the Texaco brand as well, with 17.2%.<\/p>\n\n\n\n

In fourth place, significantly behind the top three, is Larco, with a 2.5% market share as of October, taking the spot that Ale Combust\u00edveis held in recent years. The Glencore distributor, a giant in international commodities trading, accounted for 2.1% of the market during the same period, threatened by SIM, which licenses the Petronas brand in the country.<\/p>\n\n\n\n

Growth strategies vary and target both individual consumers and large corporations, as well as TRR operations\u2014Transporter-Reseller-Retailer, companies authorized by the ANP to purchase fuel in bulk and sell it retail.<\/p>\n\n\n\n

Larco is advancing more rapidly in selling to unbranded gas stations (those without brand loyalty agreements), while SIM is investing in expanding its branded network and making acquisitions. Meanwhile, Ale aims to convert more unbranded stations to its brand and grow in the large consumer segment.<\/p>\n\n\n\n

\u201cNaturally, we will be the fourth largest. But our focus is not on volume; it is to offer a new proposal for branded stations, with an international brand, focusing on quality and good practices,\u201d said Neco Argenta, CEO of the group that owns distributors SIM, Charrua, Querodiesel, and more recently, TotalEnergies.<\/p>\n\n\n\n

Within the group\u2019s ecosystem, there are about 1,000 branded stations, including Shell, Ipiranga, and Vibra, making it the largest network of fuel stations in the country. With the acquisition of TotalEnergies, SIM is accelerating its expansion into other regions, planning to convert the 240 stations acquired into the Petronas brand over the next two years.<\/p>\n\n\n\n

Mr. Argenta states that in five years, the goal is to have 1,000 Petronas stations in the country, through conversions from TotalEnergies and new partner contracts, with an estimated investment of R$50 million. The first three Petronas stations in the country are in S\u00e3o Paulo, and the Malaysian group recently approved plans to speed up the network\u2019s expansion.<\/p>\n\n\n\n

With projected revenues of R$18.5 billion for the group in 2024, the fuel volume is expected to reach 3.5 billion liters.<\/p>\n\n\n\n

Founded in 2000 by businessman Paulo Roberto Evangelista, who was already active in the transportation sector, Larco accelerated its growth from 2016 onwards, with the inauguration of its first fuel storage base in Candeias, Bahia. Today, it operates in 16 states and leads sales to unbranded stations, boasting over 4,000 registered clients.<\/p>\n\n\n\n

CEO Alberto Costa Neto said Larco\u2019s strategy is to grow both in distribution to unbranded stations and expand its network, aiming to end the year with 250 branded stations. \u201cLarco grows by expanding its network, diversifying the market, and in B2B [business-to-business], especially where agribusiness is stronger,\u201d he said.<\/p>\n\n\n\n

In October, Larco set a sales record, reaching 357 million liters, but the goal is to reach 400 million liters per month by 2024. With revenues of R$11 billion in 2023 and 2.3 billion liters sold, the company projects R$17.5 billion in revenues this year, with 3.5 billion liters. \u201cWe don\u2019t typically grow through acquisitions. Our focus is organic expansion, reinvesting in building new bases and ground logistics,\u201d the executive said.<\/p>\n\n\n\n

Ale Combust\u00edveis, which has a larger station network than Larco, aims for R$15 billion in revenues in 2024. The strategy focuses on two pillars: converting stations to its brand and expanding the corporate consumer base through exclusive contracts.<\/p>\n\n\n\n

The company plans to gain 360 new clients throughout the year, having already secured 165 in the first half, including 77 new Ale-branded stations and 88 major corporate clients (B2B). Additionally, the company anticipates a 200 million-liter increase in distribution volume, reaching 3.2 billion liters in 2024.<\/p>\n\n\n\n

Last week, Rafael Grisolia was announced as the new CEO. He will need to seek greater efficiency in storage and distribution and better exploit certain logistical axes. In a segment with tight margins, below 4%, capturing new clients also involves retail operations and services, such as convenience stores.<\/p>\n\n\n\n

\u201cWe have a strong brand in states like Minas Gerais, Rio Grande do Norte, Santa Catarina, Esp\u00edrito Santo, and Maranh\u00e3o, and our dealers deliver this brand value with a range of premium products, additives, and convenience stores [\u2026]. The B2B market is another opportunity to leverage the Ale brand\u2019s strength. This combination of strategies will be essential to boost both volume and business profitability,\u201d says Mr. Grisolia.<\/p>\n\n\n\n

The sector has also seen new business models, such as the return of the Texaco brand through a licensing agreement with Ipiranga, an Ultra group distributor, with a portfolio focusing on fuel technology and appealing to car enthusiasts.<\/p>\n\n\n\n

The first Texaco station operates in Palho\u00e7a, Santa Catarina, and plans to expand to Rio de Janeiro and S\u00e3o Paulo markets. B\u00e1rbara Miranda, vice president of marketing and business development at Ipiranga, explains that the return is linked to studies indicating the brand\u2019s strong presence in consumer memory.<\/p>\n\n\n\n

In this business model, the authorized entrepreneur sets up the point of sale, while marketing and expansion strategies are conducted jointly. The goal is for Texaco and Ipiranga to occupy distinct market niches to prevent brand market cannibalization.<\/p>\n\n\n\n

\u201cIn the Texaco model, there is regional exclusivity, and the regional station investment is made by the authorized representative. From there, Ipiranga and the authorized representative, Rede Galo, work together on the network\u2019s development plans,\u201d she states. \u201cIpiranga will have two brands to cater to two micro-market profiles, which has more to do with which consumer segment is valued than social class,\u201d she adds.<\/p>\n\n\n\n

With nationwide reach and serving multiple audiences, Ipiranga\u2019s outlook remains optimistic, as Brazil\u2019s fuel business continues to grow, with an expected increase of over 5% in 2024. The Ultrapar fuel distributor aims to capture around R$400 million in logistics and distribution efficiencies over the next three years, including faster loading, fewer accidents, improved fleet productivity, and reduction of truck detention time.<\/p>\n\n\n\n

Ra\u00edzen, which licenses the Shell brand in Brazil, remains focused on customer service and expanding its branded network, ensuring \u201cmarket share\u201d and brand image. The company has been increasing both the number and duration of its contracts. Ra\u00edzen declined to comment on the matter.<\/p>\n\n\n\n

*By Stella Fontes  e Robson Rodrigues<\/p>\n\n\n\n

Source: Valor International<\/p>\n\n\n\n

\nhttps:\/\/valorinternational.globo.com\/\n<\/div><\/figure>\n","protected":false},"excerpt":{"rendered":"

Petronas enters the market and Texaco makes a return, while Larco, Ale, and SIM vie for top rankings 12\/09\/2024 The entry of new brands into Brazil\u2019s fuel distribution market, such as Petronas and Texaco\u2014making a comeback after 16 years\u2014along with the accelerated growth of medium-sized distributors, has shifted the balance of power in the sector in 2024. […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8106],"tags":[],"class_list":["post-92149","post","type-post","status-publish","format-standard","hentry","category-murray-news"],"yoast_head":"\nNew players intensify competition in Brazil\u2019s fuel distribution sector - Murray Advogados<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"New players intensify competition in Brazil\u2019s fuel distribution sector - Murray Advogados\" \/>\n<meta property=\"og:description\" content=\"Petronas enters the market and Texaco makes a return, while Larco, Ale, and SIM vie for top rankings 12\/09\/2024 The entry of new brands into Brazil\u2019s fuel distribution market, such as Petronas and Texaco\u2014making a comeback after 16 years\u2014along with the accelerated growth of medium-sized distributors, has shifted the balance of power in the sector in 2024. […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/\" \/>\n<meta property=\"og:site_name\" content=\"Murray Advogados\" \/>\n<meta property=\"article:published_time\" content=\"2024-12-09T21:24:40+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-12-09T21:24:56+00:00\" \/>\n<meta name=\"author\" content=\"Gelcy Bueno\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Gelcy Bueno\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"7 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/\"},\"author\":{\"name\":\"Gelcy Bueno\",\"@id\":\"https:\/\/murray.adv.br\/en\/#\/schema\/person\/dd0d0bea46c2436124555d18c1a0d52e\"},\"headline\":\"New players intensify competition in Brazil\u2019s fuel distribution sector\",\"datePublished\":\"2024-12-09T21:24:40+00:00\",\"dateModified\":\"2024-12-09T21:24:56+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/\"},\"wordCount\":1193,\"articleSection\":[\"Murray News\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/\",\"url\":\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/\",\"name\":\"New players intensify competition in Brazil\u2019s fuel distribution sector - Murray Advogados\",\"isPartOf\":{\"@id\":\"https:\/\/murray.adv.br\/en\/#website\"},\"datePublished\":\"2024-12-09T21:24:40+00:00\",\"dateModified\":\"2024-12-09T21:24:56+00:00\",\"author\":{\"@id\":\"https:\/\/murray.adv.br\/en\/#\/schema\/person\/dd0d0bea46c2436124555d18c1a0d52e\"},\"breadcrumb\":{\"@id\":\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"In\u00edcio\",\"item\":\"https:\/\/murray.adv.br\/en\/home\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"New players intensify competition in Brazil\u2019s fuel distribution sector\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/murray.adv.br\/en\/#website\",\"url\":\"https:\/\/murray.adv.br\/en\/\",\"name\":\"Murray Advogados\",\"description\":\"PLG International Lawyers\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/murray.adv.br\/en\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/murray.adv.br\/en\/#\/schema\/person\/dd0d0bea46c2436124555d18c1a0d52e\",\"name\":\"Gelcy Bueno\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/murray.adv.br\/en\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/1ef2acfe966d6deacdeccd2a24ea89192c41fd05fc60e57b79021358a47f5641?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/1ef2acfe966d6deacdeccd2a24ea89192c41fd05fc60e57b79021358a47f5641?s=96&d=mm&r=g\",\"caption\":\"Gelcy Bueno\"},\"url\":\"https:\/\/murray.adv.br\/en\/author\/news\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"New players intensify competition in Brazil\u2019s fuel distribution sector - Murray Advogados","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/","og_locale":"en_US","og_type":"article","og_title":"New players intensify competition in Brazil\u2019s fuel distribution sector - Murray Advogados","og_description":"Petronas enters the market and Texaco makes a return, while Larco, Ale, and SIM vie for top rankings 12\/09\/2024 The entry of new brands into Brazil\u2019s fuel distribution market, such as Petronas and Texaco\u2014making a comeback after 16 years\u2014along with the accelerated growth of medium-sized distributors, has shifted the balance of power in the sector in 2024. […]","og_url":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/","og_site_name":"Murray Advogados","article_published_time":"2024-12-09T21:24:40+00:00","article_modified_time":"2024-12-09T21:24:56+00:00","author":"Gelcy Bueno","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Gelcy Bueno","Est. reading time":"7 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/#article","isPartOf":{"@id":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/"},"author":{"name":"Gelcy Bueno","@id":"https:\/\/murray.adv.br\/en\/#\/schema\/person\/dd0d0bea46c2436124555d18c1a0d52e"},"headline":"New players intensify competition in Brazil\u2019s fuel distribution sector","datePublished":"2024-12-09T21:24:40+00:00","dateModified":"2024-12-09T21:24:56+00:00","mainEntityOfPage":{"@id":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/"},"wordCount":1193,"articleSection":["Murray News"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/","url":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/","name":"New players intensify competition in Brazil\u2019s fuel distribution sector - Murray Advogados","isPartOf":{"@id":"https:\/\/murray.adv.br\/en\/#website"},"datePublished":"2024-12-09T21:24:40+00:00","dateModified":"2024-12-09T21:24:56+00:00","author":{"@id":"https:\/\/murray.adv.br\/en\/#\/schema\/person\/dd0d0bea46c2436124555d18c1a0d52e"},"breadcrumb":{"@id":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/murray.adv.br\/en\/new-players-intensify-competition-in-brazils-fuel-distribution-sector\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"In\u00edcio","item":"https:\/\/murray.adv.br\/en\/home\/"},{"@type":"ListItem","position":2,"name":"New players intensify competition in Brazil\u2019s fuel distribution sector"}]},{"@type":"WebSite","@id":"https:\/\/murray.adv.br\/en\/#website","url":"https:\/\/murray.adv.br\/en\/","name":"Murray Advogados","description":"PLG International Lawyers","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/murray.adv.br\/en\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/murray.adv.br\/en\/#\/schema\/person\/dd0d0bea46c2436124555d18c1a0d52e","name":"Gelcy Bueno","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/murray.adv.br\/en\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/1ef2acfe966d6deacdeccd2a24ea89192c41fd05fc60e57b79021358a47f5641?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/1ef2acfe966d6deacdeccd2a24ea89192c41fd05fc60e57b79021358a47f5641?s=96&d=mm&r=g","caption":"Gelcy Bueno"},"url":"https:\/\/murray.adv.br\/en\/author\/news\/"}]}},"_links":{"self":[{"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/posts\/92149","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/comments?post=92149"}],"version-history":[{"count":1,"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/posts\/92149\/revisions"}],"predecessor-version":[{"id":92150,"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/posts\/92149\/revisions\/92150"}],"wp:attachment":[{"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/media?parent=92149"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/categories?post=92149"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/murray.adv.br\/en\/wp-json\/wp\/v2\/tags?post=92149"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}