IDB: Ecomipa could lose Western Corridors contract

Unfinished works by Paraguayan company Ecomipa could lead it to losing a contract that falls under the public works ministry's western integration highway corridors program, Diario ABC Color quoted the Bank's Paraguay representative Alvaro Cubillos as saying. The works correspond to the second stretch (Emboscada-San Estanislao) of highway Ruta 3 (Elizardo Aquino), which the IDB is financing. According to report, Ecomipa has 30 days to complete the works. Earlier this year, the Bank gave its "no-objection" to the lowest bidders submitted by the ministry for the US$190mn western integration corridors program. Works are slated to begin in 40 days. The contracts are split into eight packages, each of which is made up of 10-12 projects that involve basic works, drainage improvement and road paving in the departments of Boqueron and Alto Paraguay. The works will take 12-36 months depending on the package. The program's other bidders are Talavera & Ortellado Construcciones, Benito Roggio e Hijos, Consorcio Alto Chaco, Consorcio de Ingenieria Vial, Ingenieria de Topografia y Caminos, Consorcio Occidente and Consorcio Camineros del Chaco. The works aim to improve and consolidate the most important road corridors in Paraguay's sparsely populated western departments to advance development in that area and facilitate the flow of products from its agricultural centers. The IDB is helping finance the program with a US$100mn loan, along with US$60mn from the Andean Development Corporation and US$30mn in local counterpart funds.