Mato Grosso do Sul resumes plan to offer US$1.45bn highway concession

Brazil’s Mato Grosso do Sul state will re-tender the concession contract for the so-called pulp route in an auction expected to generate investments of 9bn reais (US$1.45bn).

The first auction was held at the beginning of this month but failed to attract bidders.

The plan is to publish the tender notice for the 30-year contract in January and hold the new auction in April, a state government spokesperson confirmed to BNamericas.

The single-package contract includes the BR-262, BR-267, MS-040, MS-338 and MS-395 highways, with a total extension of 870km.

This month has seen the federal government and the government of São Paulo state offer multiple highway concessions and investors saw these as more attractive than the pulp route contract.

The federal and state authorities are increasingly using concessions as a way to expand road infrastructure investments at a time when the public sector is facing major fiscal restrictions.

Deadly bridge collapse

On Sunday, part of a bridge between the states of Maranhão and Tocantins collapsed and killed one person.

Several people are still missing as cars and trucks fell into the river passing below the bridge.

Transport minister Renan Filho was quick to announce that the government will invest up to 150mn reais to rebuild the bridge, which is operated by federal road department Dnit.