The cumulative loss is 1.65 billion yuan! Severe weather in Brazil has serious impact

According to Brazilian media reports, the state of Sao Paulo was earlier hit by a severe storm accompanied by record strong winds, killing at least seven people and power outages for 2.1 million residents and business users. Currently, power has been restored in most of the areas affected by the storm, but the state has lost 1.6 billion reais due to power outages, according to Enel   SP.

According to the report of the power company, the number of affected residents has been updated to 3.1 million from 2.1 million previously reported. However, most of the residents affected by last week's storm have returned to power supply, and only about 36000 households still have no power supply. It's still under repair.

Although the report points out that the recovery rate of power supply after this blackout is much faster than that of last year, the impact is very serious. According to the survey and statistics conducted by the Association of goods, Services and Tourism of the State of Sao Paulo (FecomercioSP), on the fourth day of the blackout, a number of industries caused a cumulative serious loss of 1.65 billion reais, but this figure is the income that these enterprises could not record during the blackout, as well as some basic losses, so the actual loss figure will be even higher.

The federation said that the state of Sao Paulo, as the largest city in Brazil, is the largest economic, trade, commercial, financial, logistics and transportation center in Brazil and even in South America, and its industry is so developed that there should not be repeated power outages. what is more, there should not be prolonged blackouts in such incidents, with some areas without power for more than a week as users experienced blackouts at the end of 2023. The power shortage has not only had a significant impact on public life, but also brought huge economic losses to the business community.

It is reported that Sao Paulo is the most important industrial state in Brazil, with steel, automobiles, aircraft and electronics, as well as textile, food processing, paper and other industries. Power outages make enterprises face problems such as overstock and non-delivery. Many companies are recording economic losses, and some important manufacturers have to maintain the operation of their equipment by generating generators, hiring extra labor or buying fuel, which increases their operating costs. In addition, nearly 400 tree collapses were reported, affecting road facilities and logistics and transport.

In addition, the storm was the strongest weather event in the region since 1995, with winds of up to 107.6 kilometers per hour, causing serious wind damage, causing damage not only to power supply facilities, but also to the state's agriculture. Although the rainfall has effectively alleviated the recent dry and high temperature climate, due to the strong wind, it has directly damaged some plants, trees and fruits, especially coffee trees, and is currently in the flowering period of the new coffee production season in Brazil, resulting in a decline in coffee production.

And the storm occurred only in the Sao Paulo area of Brazil and did not affect other areas much. It is reported that only part of Minas Gerais, Brazil's largest coffee producing region, receives very little rainfall, so most of the state is still affected by dry and hot weather.

According to the Brazilian Meteorological Department, the historical average monthly rainfall in Minas is 1300-2000 mm, but due to drought, the rainfall since August has been very low, or even no rain. In October, the rainfall was only 27.16 mm, which could not alleviate the drought, and the high temperature in the state continued, with a maximum temperature of 38 °C and an average temperature of 28.5 °C, which was not conducive to the growth of coffee crops.

As a result, according to Conab, Brazil's official agency, recent drought, lack of rainfall, high temperatures and other climatic conditions have reduced productivity prospects, resulting in a final yield reduction of 1.9 per cent only 28.8 bags per hectare, with a total yield of about 4 million bags less than in 2023.

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