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New EF-118 railway could transform Rio de Janeiro’s economy, creating 68 jobs and injecting billions into the local economy. Could this be the solution for regional infrastructure development?
A billion-dollar project capable of profoundly changing the economy of Rio de Janeiro is gaining momentum.
The construction of the Railway 118 (EF-118) promises to go beyond being just a new railway line:
It may be the key to generating thousands of jobs and attract investments never seen before in the region. But what will be the real impact of this megaproject?
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INDUSTRY AND TRADE – FREE MARKET
With the expectation of generating 68 jobs and to move $ 2,5 billion In the economy, the EF-118 project has everything to boost development in different sectors in Rio de Janeiro.
According to Federation of Industries of the State of Rio de Janeiro (Firjan), the railway will connect the Port of Açu, in São João da Barra, to the entire national railway network, facilitating the flow of goods and encouraging competitiveness in the state.
Economic Impact of EF-118: Jobs and GDP Boosted
The construction of the EF-118 stands out not only for the value of investments, but for the direct impact on local communities.
firjan projects that the GDP of Rio de Janeiro could see a leap with the addition of up to $ 2,5 billion, boosting the economy of municipalities in the north of Rio de Janeiro.
Job creation is one of the main pillars of the project.
It is estimated that the total wages of the workers involved will amount to R $ 1 billion, which means a substantial gain for families in the region.
This amount is expected to strengthen local trade and services, with more money in circulation and greater purchasing power among the population.
According to data from Firjan, the work translates into opportunities for both direct and indirect workers, increasing development potential and attracting new businesses.
Tax collection: significant return for the state
In addition to jobs and increased GDP, EF-118 can significantly contribute to tax collection in Rio.
Firjan estimates that the project could generate R$457 million in taxes between state and federal taxes, offering a direct return to public coffers and helping to maintain investment in regional economic growth.
In a recent meeting, held in September, authorities and representatives of civil entities discussed the future of the project and the allocation of resources.
Firjan North led efforts to ensure that the necessary funds are applied to the railway, and a petition was sent to the National Land Transport Agency (ANTT) to request the allocation of investments returned by the Central Atlantic Railway (FCA), interrupted since 2013, to finance the EF-118.
Government-community collaboration: a joint effort
Authorities and civil representatives, including Roberto, president of Firjan Norte, argued that the union of efforts between government and society is essential to make the construction of the railway viable.
“Only with the support of parliamentarians, mayors and local leaders is it possible to overcome the challenges and guarantee the economic benefits of this work,” highlighted Siqueira.
The participation of regional politicians and authorities reinforces the commitment to the project.
Among them, the Secretary of Economic Development of Campos, Felipe Knust, represented the mayor of Campos, Wladimir Garotinho, in the signing of a supporting document.
The presence of representatives from neighboring cities also highlighted the importance of EF-118 for the growth and economic integration of the north of the state.
Port of Açu: the logistical link for the growth of Rio de Janeiro
The construction of the EF-118 will be a logistical asset for Porto do Açu, one of the main port complexes in the country.
The new railway line not only strengthens the capacity to export and import goods, but also makes the Port of Açu a strategic pole of distribution.
According to the Undersecretary of Mobility of Campos, Sergio Mansur, the railway represents a qualitative leap in the state's infrastructure, meeting the growing demand for cargo in the region and increasing Rio de Janeiro's industrial competitiveness.
With the connection of EF-118 to the national network, the transportation of goods will become more agile and efficient, adding economic value and accelerating the state's industrial growth.
Railway expansion and impact on regional infrastructure
The revitalization and expansion of the railway network are strategic aspects for Rio de Janeiro.
FCA's return on investment to the government in 2013 included more than 153 kilometers of lines, of which only 41 kilometers are still in use.
The reactivation of these lines, combined with the construction of new sections, allows the EF-118 to considerably expand the cargo transportation capacity and integration of the Rio de Janeiro regions with other areas of Brazil.
Furthermore, this expansion translates into significant operational gains, by increasing the state's logistical efficiency and improving product circulation.
According to data from Firjan, the EF-118 represents a unique opportunity for Rio de Janeiro to become an important logistics hub, contributing to the economic transformation of the state and, potentially, of the entire Southeast region.
The future of Rio de Janeiro's economy depends on EF-118
Given the benefits promised by Railroad 118, new perspectives emerge for Rio de Janeiro.
With the creation of jobs, investments in infrastructure and increased tax collection, the railroad presents itself as a watershed for the state.
However, it remains to be seen whether the project will be able to overcome bureaucratic barriers and become a reality in the coming years.
Do you believe that the EF-118 will be the necessary boost for Rio de Janeiro's economic growth? Leave your opinion in the comments!
I believe that the railways will indeed bring much greater benefits to Brazil in general, not just to Rio de Janeiro, since the highways are already saturated and are becoming increasingly difficult to travel on. It would be better if this railway were also used for passenger transport. Congratulations on the initiative.
It has to reach the port of Itaguaí and the port of Rio in Caju. It will greatly reduce the excessive traffic of trucks coming from the countryside to the city of Rio and vice versa.
Great! But you also have to be careful about the workers who will come. Will they be from Rio de Janeiro? Advertise the job and where they will stay. And when it's over, where will they go? You have to think about everything.
This question is very important, “workers who will come”, and then, “where will they go”.
Certainly being a reality, it will bring fundamental savings in the economy of logistics transport not only for Rio de Janeiro, but for the country as a whole. We will await the outcome and for the private sector to provide a large part of the resources necessary for the construction of this very important railway.
This railway is of utmost importance for the interior of Rio de Janeiro, north and northwest. This route has to pass through cities like Itaperuna and enter MG, where there are mineral exports, Ipatinga, etc. Strangely, people vote in large numbers for the PL and no mayor elected in this region fights for a gigantic work. What a shame.