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Monumental project to shorten the distance between Brazil and China has begun! Mega highway promises to revolutionize exports, generate thousands of jobs and boost cultural exchange in South America

Written by Alisson Ficher
Published 22/09/2024 às 11:35
The mega highway that will connect Brazil to Chile is under construction and promises to revolutionize trade with Asia and neighboring countries.
The mega highway that will connect Brazil to Chile is under construction and promises to revolutionize trade with Asia and neighboring countries.

Mega highway that could transform Brazil! With the construction of the Bioceanic Route, the country will shorten distances with China, facilitating exports and generating jobs. The project also promises to strengthen tourism and cultural exchange with neighbors in South America.

The largest infrastructure project to connect Brazil directly to the Pacific Ocean, passing through Chile, is already underway.

What once seemed like just a distant dream is now taking shape. But why is this Is construction so important for Brazil and its neighbors?

Much more than a simple highway, this mega highway promises to transform commercial and cultural relations in South America, facilitating exports and even accelerating exchanges with countries as far away as China.

The details of this monumental project can surprise and open doors that have not even been imagined yet.

The call Bioceanic Route, or Latin American Integration Route (RILA), is a strategic logistics corridor, connecting the Atlantic to the Pacific.

The work includes the construction of a 13-kilometer access road, which will connect BR-267, in Porto Murtinho, to the Bioceânica Bridge, located on the border between Brazil and Paraguay.

According to the Minister of Planning and Budget, Simone Tebet, the project is already in its initial phase, with construction of this access having begun on September 20, 2024.

From this corridor, a shorter route for trade between Brazil, Paraguay, Argentina and Chile will be possible, reducing transportation time and costs.

Impact on the Brazilian economy

The expectation is that this new route will bring significant logistical gains to Brazil. Studies by the Planning and Logistics Company (EPL) indicate that Brazilian exports to Asia could have their sea route reduced by 9,7 kilometers.

This means savings of up to 12 days in transportation to China, one of Brazil's largest trading partners.

With this saving of time and reduction in logistics costs, Brazil will be able to make its products more competitive in the international market, especially in sectors such as animal proteins and higher value-added goods.

According to Simone Tebet, this mega highway is essential to integrate Brazil with the rest of South America, strengthening economic and cultural ties.

She stated that “Brazil needs to look more at its own continent, taking advantage of the opportunities that are at its side”, referring to the lack of attention given to trade with neighboring countries.

The route promises not only to improve exports, but also to encourage tourism and cultural exchange, as the infrastructure will facilitate access to important tourist attractions, such as the Hill of Seven Colors, in the Andes Mountains, Argentina.

Bioceanic Bridge and logistical access

Another essential point for the project is the construction of the Bioceanic Bridge, which is being built by a binational consortium with an investment of R$575,5 million.

The bridge will be 1.294 meters long, divided into three parts, and the structure is already 60% complete, as reported by the Ministry of Public Works and Communications of Paraguay.

While the bridge crosses the Paraguay River, the Brazilian government, through the National Department of Transport Infrastructure (DNIT), is in charge of building access to BR-267, as well as a bypass road and a customs center to manage the passage between Brazil and Paraguay.

Simone Tebet highlighted that the customs center, a fundamental part of the project, should be a joint effort between Brazil and Paraguay.

The Federal Revenue Service is already involved in structuring this unit, which can simplify trade between the two countries, according to information from the minister.

Logistical challenges and import concerns

Although the new route is viewed with optimism by much of the industry, There are concerns about increased imports and their impact on the local market.

Sérgio Longen, president of Fiems, pointed out that, despite the evident benefits for exports, “Brazil still faces high import costs, which could reduce the competitiveness of local industry.”

This is a concern that will be discussed at both federal and state levels, seeking to balance export gains with possible challenges for Brazilian industries.

Jaime Verruck, State Secretary for Environment, Development, Science and Technology, also emphasized that The challenge now is to establish an agile customs system between the four countries involved in the route.

Simplifying this system is crucial to ensure that Brazil makes the most of the Bioceanic Route, especially in higher value-added chains.

Opportunities for trade with Asia

One of the main attractions of Bioceanic Route is the potential to facilitate trade with Asia, especially with China.

Reaching the Asian market at a cost 30% lower than via traditional routes could represent a major boost for products such as animal proteins and other value-added goods.

The objective, according to Verruck, is not to export commodities such as soybeans, but rather to focus on products with greater value on the international market.

Furthermore, the route opens up opportunities for importing Asian products at reduced costs. This could transform Mato Grosso do Sul into an important distribution hub for Asian products to the rest of Brazil, as highlighted by Jaime Verruck.

The state can benefit from both the export and internal distribution of imported goods.

Bioceanic Bridge promises to revolutionize trade

With a project that promises to revolutionize trade between Brazil and its neighbors, the Bioceanic Route is seen as a unique opportunity for economic growth and regional development.

The challenge now is to ensure that the necessary infrastructure is completed within the established deadlines and that the customs system is sufficiently agile to support the flow of trade.

Is Brazil prepared to take full advantage of this new route of continental integration, or could logistical and commercial challenges limit its potential?

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Alisson Ficher

Journalist graduated in 2017 and working in the field since 2015, with six years of experience in print magazines and over 12 thousand online publications. Specialist in politics, jobs, economics, courses, among other topics. If you have any questions, want to report an error or suggest a topic on the topics covered on the site, please contact us by email: alisson.hficher@outlook.com. We do not accept resumes!

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