Brazil looking to boost port sector investment

The Brazilian government announced key initiatives to attract more investments to the country's port sector. 

They include building a new port terminal that will demand an investment of 1.3bn reais (US$230mn) in Rio Grande do Sul state.

Owned by local firm Porto Meridional Participações and to be operated as a private use terminal (TUP) in Arroio do Sal municipality, the facility is under evaluation by environmental regulator Ibama and the 30-month construction is likely to start in 2025, a spokesperson at the ports and airports ministry confirmed to BNamericas. 

Porto de Arroio do Sal will handle and store solid and liquid bulk, general and containerized cargo. The forecast is that 5Mt of solid bulk will be handled annually, 1.8Mt of general cargo, 800,000t of liquid bulk and 300,000 TEUs of containerized cargo. 

São Paulo-based firm DTA Engenharia is in charge of the engineering side of the project.

REGULATION

Meanwhile, waterways regulator Antaq’s board approved the report by a government working group regarding the Navegue Simples program, an initiative to simplify and reduce bureaucracy in terms of port sector regulations for TUPs and terminal leases.

The expectation is that within 30 days Antaq will draw up and approve a plan to implement the measures recommended in the report, indicating deadlines and those responsible for each stage, the regulator said in a statement.

"Navegue Simple is very important for unlocking investments from private sector firms interested in installing private port terminals. In fact, the ideal would be to not have regulations in this area as private terminals only rely on company investments and not government investments, and help reduce logistical bottlenecks," Murillo Barbosa, president of the Brazilian association of private port terminals (ATP) and former Antaq director, told BNamericas.

PORT TERMINAL AUCTIONS

Antaq also authorized two port terminal auctions, which are expected to demand combined investments of around 95mn reais.

One of the terminals is MCP03, in Amapá state’s Santana port.

"MCP03 is expected to generate investments of 88.9mn reais over the contract’s 25 years. It is intended for handling and storage of solid vegetable bulk, especially soybeans and corn," Antaq said in a statement.

Meanwhile, the MAC16 terminal in Alagoas state’s Maceió port, is expected to generate investments of 6.18mn reais. It will handle and store solid bulk.

The auction dates will be announced after authorization by the ports and airports ministry.