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The New Contract of the Ministry of Infrastructure Aims to Support the Private Initiative to Secure the Necessary Investments for the Project. The SPA Forecasts a Total of R$ 891 Million Applied to the Internal Railway of the Port of Santos.
During last Friday, (12/16), there was the signing of a contract by the Ministry of Infrastructure with the new composition of the administrator of the Internal Railway of the Port of Santos (Fips), the SPA group. Thus, approximately R$ 891 million will be allocated for the expansion of the railway of the Port of Santos, located in the state of São Paulo, to ensure greater cargo movement. The main objective of the contract is to ensure the union of the private and state market to benefit the entire port segment of the state.
SPA Group and Ministry of Infrastructure Join Forces for Internal Railway Expansion Project of the Port of Santos with Million-Dollar Contract Signed
The national port market has been growing strongly in recent years, with new infrastructure demands arising for the expansion of cargo movement capacity.
Thus, the Ministry of Infrastructure seeks to ensure adequate infrastructure at the Port of Santos, one of the most important in all of Brazil, over the next few years.
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For this purpose, the agency signed a new contract with the administrative group of the port complex railway.
The SPA group, made up of the companies Ferrovia Centro Atlântica S/A (VLI), MRS Logística S/A, and Rumo S/A, secured R$ 891 million in private investments over the next five years for railway expansion.
The port complex of Santos is already at 94% of its maximum capacity. Therefore, the expansion of Fips is essential to facilitate future cargo movement.
Thus, the Ministry of Infrastructure’s project with the SPA aims to double this capacity within a period of five to ten years to ensure adequate infrastructure for the current demand of the port market.
The current capacity installed at the site is 50 million tons per year, and it needs to be raised to 115 million tons/year to accommodate the volume of railways that flow into the Port of Santos.
Ministry of Infrastructure Affirms That Partnership with the Private Market Was Essential to Secure Future Investments for the Internal Railway of the Port of Santos
Even with state investments in the railway expansion, private investments in the contract with the Ministry of Infrastructure were still necessary to guarantee the required capacity at the Port of Santos.
“The arrival at the port is the point of greatest vulnerability, due to various interferences in the network for the railway to operate efficiently and competitively. The integration of the railway sector with the port sector in Santos was a great challenge and would not have been possible without the involvement of organized society,” said the Minister of Infrastructure, Marcelo Sampaio.
At the contract signing ceremony, in addition to the Minister of Infrastructure, the national secretary of Ports and Aquatic Transport of MInfra, Mário Povia, the president of SPA, Fernando Biral, and representatives from companies and sector entities were present.
Learn More About SPA
The Santos Port Authority (SPA), legal name Autoridade Portuária de Santos S.A., is a public company, with closed capital, linked to the Ministry of Infrastructure (Minfra), responsible for exercising the functions of port authority within the Organized Port of Santos.
In exercising this function, the SPA is responsible for managing and overseeing port facilities and public infrastructures located at the Organized Port.
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