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Brazil to auction Port of Santos in Q4 after planned expansion

The Brazilian Ministry of Infrastructure has published an ordinance to expand the jurisdictional limits of the Port of Santos, almost doubling the dry area under administration, from 8 sq. km at 15.5 sq. km. The expansion provides area for the development of new projects, which is expected to make the port more valuable when the concession is auctioned in the fourth quarter of this year.

Brazil’s waterway regulator Antaq said in a press release last week that it will hold a public consultation and hearing between January 31 and March 16 “to receive contributions aimed at improving the documents related to the privatisation of the Port of Santos.”

It noted that the concession period will be 35 years, renewable for up to 5 years.

“The investments planned to adapt the infrastructure of the organized port total R$16bn, which should be carried out throughout the contractual term,” according to the release.

“The initial grant amount will be R$1.383bn, in addition to a variable contribution to the Granting Authority equivalent to 2.25% per year on the consolidated gross revenue. The future concessionaire will also pay an annual inspection fee to ANTAQ of R$6.422m, which will be used to pay for the inspection and regulation work in the concession model.”

Kim Biggar

Kim Biggar started writing in the supply chain sector in 2000, when she joined the Canadian Association of Supply Chain & Logistics Management. In 2004/2005, she was project manager for the Government of Canada-funded Canadian Logistics Skills Committee, which led to her 13-year role as communications manager of the Canadian Supply Chain Sector Council. A longtime freelance writer, Kim has contributed to publications including The Forwarder, 3PL Americas, The Shipper Advocate and Supply Chain Canada.
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