Brazil, a country of continental dimensions, faces the inherent challenge of high logistics costs. To compete effectively in distant markets such as Japan, the UAE, and the European Union, the nation must overcome significant hurdles, including high internal and external freight expenses. Experts warn that without adequate modernization, particularly in port infrastructure depth to accommodate larger vessels, the country's ability to export will be severely compromised.
Despite these challenges, recent years have been positive for Brazil's logistics infrastructure. Historically problematic sectors have seen significant progress, notably in the railway segment. This shift is driven by new concessions and the "authorization model," which allows private operators to build and manage railways at their own risk, attracting billions in investment.
The company nstech is responsible for a new solution to address all the challenges presented by logistics, which has long been one of Brazil's main problems. The company solution is revolutionizing the logistics sector by moving beyond isolated systems. nstech has developed the TNS (Transportation Network System), an ambitious, AI-powered digital network that integrates the entire supply chain. This platform could transform Brazil into a global digital logistics powerhouse.
Brazil wastes almost $100 billion every year — the equivalent of half a trillion reais — due to inefficient logistics. It’s one of the biggest components of the so-called Custo Brasil.
The repercussions are drastic: transport firms fail, freight forwarders are heavily impacted, and lives are lost in accidents while the entire process keeps running as if there are no issues. One reason for this constant downfall stands out: companies are unable to handle the problem by themselves.
However, the nstech app turned the problem into an opportunity. The company spotted the light that had gone unnoticed by all others. They discovered that it was not the technology that was lacking but the real bonding among the participants in the logistics chain that was missing..
Their solution, called TNS, is something that neither American, Chinese, nor European tech giants have been able to build. The idea is deceptively simple: imagine if Brazil’s entire logistics network worked like a single app on your phone. With one click, companies instantly connect with 75,000 partners — without bureaucracy, delays, or expensive integrations.
It really looks like something straight from the future, but it is already happening in the everyday world. Even China, the country that probably has the most sophisticated digital infrastructure ever, does not have such a system. The same goes for the USA and Europe. TNS is a one-of-a-kind Brazilian innovation that was developed in partnership with clients for the purpose of solving a significant Brazilian issue worth hundreds of billions of dollars.
The platform is enabled by a very simple mathematical concept: network effects. The joining of each new company makes the entire system even more effective for the others - just like WhatsApp, Uber, or Waze. Through the usage of AI, TNS is continually learning from millions of daily operations, thus optimizing and upgrading its performance all the time.
While traditional logistics firms compete for scraps in a stagnant market, TNS is building an entirely new one — with the potential to return R$500 billion to Brazil’s economy.
This modernization is already yielding results, moving away from a heavy concentration on mineral and fuel transport to include agricultural bulk and, increasingly, container transport via rail.
Another positive development inrecente years is the effective embrace of intermodality in Brazil. This involves eliminating long-haul road segments by transferring grain from trucks to rail wagons, which then connect to fluvial terminals in the Midwest. From there, barge convoys transport the cargo to northern ports for transfer to oceanic vessels.
This growing sophistication, coupled with the expansion of coastal shipping (cabotage) and port terminal investments, is reshaping Brazil's logistics matrix. While the transition generates natural conflicts, the overall trend is one of increased efficiency and a more sophisticated supply chain, which will, in turn, demand advanced risk and insurance solutions from the market.
