Indigenous community mobilizes against Ferrogrão Railway

An Amazonian indigenous community, The Kayapo, is mobilizing to secure its land rights as the government plans to build the Ferrogrão Railway within 60 km of the tribe’s territory. The community fear an influx of speculative farmers to the edges of the tribe’s reserve and that increased use of pesticides would cause river pollution.

Brazil’s president, Jair Bolsonaro, who was endorsed by Brazil’s agri-sector during his 2018 election campaign, is committed to implementing the US$3.3bn Ferrogrão project. He has also promised to freeze indigenous land demarcations. Dubbed as the most complicated “environmental concession”, the government intends to conduct an auction by early 2020. 

The proposed grain railway “Ferrograo” project will span 993km in length, connecting the grain producing Central-West region in Mato Grosso to Miritituba Port in Pará, where shipments would head to the ports of Belem and Santana for export.

Soy generated US$25bn in Brazil’s export revenues in 2017. However, poor infrastructure such as unpaved roads increases the price of grain significantly. According to the Association of Brazilian Soybean Producers, Brazil spends US$88 per ton to collect and deliver soy to the port, compared to just US$20 per ton in the US. The Ferrogrão Railway will make the soy more competitive. The Mato Grosso Agricultural Institute estimates the Ferrogrão could lead to a 70% increase in annual grain collection over ten years.

The Kayapo territory is already subject to logging, especially since after the construction of BR-163 highway. The National Space Institute estimated a loss of 776 hectares between 2017 and 2018. 

Currently, the ferrogrão project awaits approval from the Court of Auditors (TCU). DatamarNews reported that the National Land Transport Agency (ANTT) had prepared the final report for concession without consulting the affected indigenous community.

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