English 
Spanish 
3 min read
0 comments
The possible shutdown of sections of the Ferrovia Centro Atlântica (FCA) puts the economy of Bahia at risk. Local industry and jobs could suffer serious consequences if the sections are discontinued, affecting the state's competitiveness.
Bahia is on the brink of logistical collapse, and the situation is alarming.
With the possible discontinuation of sections of the Railway Centro Atlântica (FCA), local industries and the Bahian economy may suffer severe consequences.
However, the true impact of this decision is still being debated.
- BRICS expands global power: historic expansion challenges dollar and redefines economy with Brazil in the spotlight
- Investment of 75 BILLION could turn a state often forgotten by Brazilians into a global economic powerhouse with development and thousands of jobs
- Elon Musk could take SpaceX to a staggering $350 billion and make it the most valuable startup on the planet
- Global dairy leader invests R$250 million in factories in Minas Gerais
SPORTS AND FITNESS – FREE MARKET
The renewal of the FCA concession by VLI, which is being discussed in public hearings between September 30 and October 4, 2024, brings uncertainties that concern the entire production chain in the state.
Bahia could lose strategic rail connection
According to the proposal by VLI, the company responsible for managing the Ferrovia Centro Atlântica, sections that connect Bahia to states such as Minas Gerais and Sergipe may be discontinued.
The Federation of Industries of the State of Bahia (FIEB) expressed concern, highlighting that the interruption of these sections could negatively impact logistics and industrial production in the region.
Critical passages threatened
According to VLI, of the 7.220 km of railway network under concession, 2.132 km can be returned to the government, of which 291 km belong to Bahia.
The stretch between Bonfim and Petrolina, as well as Alagoinhas and Propriá, is among the most threatened.
This alarming situation puts at risk the flow of essential products, such as those from the mining sector, compromising Bahia's competitiveness on the national scene.
Serious economic and logistical impacts for Bahia
The president of FIEB, Carlos Henrique Passos, warned about the risk of incalculable losses for the Bahian economy.
He highlighted that “What is at stake is the interconnection of Bahia by rail with other important centers” and that the discontinuation of strategic sections could weaken the state's ability to transport its production.
This decision also threatens the future operation of the West-East Integration Railway (FIOL), which is still in the planning phase.
According to Passos, “the interruption of FCA operations in Bahia paves the way for the loss of cargo on the FIOL Barreiras/Mara Rosa stretch”, compromising the logistical development of the region.
The need for public investment
FIEB argues that the renewal of the concession must guarantee the maintenance of operations in the Bahia section until the government defines a new operational model.
This involves making public investments to improve the conditions of the railway, especially because the current scenario makes it difficult to attract private investors.
According to FIEB, “it will not be possible to attract a private investor to operate, based on the current conditions”.
The proposed solution includes the use of Capex (capital expenditure) resources, as proposed by VLI, to ensure improvements and operational viability.
Proposals to avoid logistical collapse
To avoid a logistical collapse that affects Bahia's economy and industry, FIEB suggests urgent measures, such as ensuring that the stretch between Corinto (MG) and Campo Formoso (BA) continues to operate until a new operator is defined.
Furthermore, the federation advocates the allocation of resources to modernize this section, increasing its speed and efficiency, and guaranteeing the functionality of the FIOL sections, ensuring that cargo continues to arrive at the ports of All Saints Bay.
These proposals seek to preserve the state's competitiveness in the logistics sector and ensure that railway operations continue to be a fundamental pillar of the Bahian economy.
What will be the logistical future of Bahia?
What will happen if the railway sections are really paralyzed? Bahia runs the risk of becoming a logistically isolated island, with direct impacts on the economy, industry and jobs.
Are the government and authorities prepared to deal with the consequences of this possible shutdown?
Be the first to react!