Bolsonaro plans to privatize 10 port areas in the first semester of 2019

Brazil’s new President, Jair Bolsonaro, announced that the Secretariat of Ports would offer concessions to ten port areas in the first half of 2019. The President plans to privatize four out of the ten port areas as early as March, according to his tweet:

A @portosdobrasil via governo federal vai realizar o arrendamento de 10 áreas portuárias no 1º semestre de 2019, incluindo 3 terminais do Porto de Cabedelo/PB. Os leilões de 4 dessas áreas acontece em 22/03. Saiba + sobre os investimentos previstos: https://t.co/xT08qWapaX

— Jair M. Bolsonaro (@jairbolsonaro) February 14, 2019

Three terminals from the Port of Cabedelo and one from Vitória make the list of early concessions, scheduled next month. The auctions will take place on March 22, and the deadline to submit proposals is March 19. All the port areas are for fuel storage and handling. They are part of the federal government’s Investment and Partnership Program (PPI). The government expects to attract an investment of R$200m.

The tenure of the contracts is 25 years, consisting of more than 130,000 square meters of area. The largest area is at the Port of Vitória at 74,000 square meters.

The following DataLiner graph shows both the Port of Vitória’s cargo throughput against vessel calls month-by-month for the last two years: 

Days after taking office, Jair Bolsonaro announced the possibility of earning R$7bn in investment from plans to privatize a railroad, 12 airports, and four port terminals concessions.

Rapidamente atrairemos investimentos iniciais em torno de R$7 bi, com concessões de ferrovia, 12 aeroportos e 4 terminais portuários. Com a confiança do investidor sob condições favoráveis à população resgataremos o desenvolvimento inicial da infraestrutura do Brasil.

— Jair M. Bolsonaro (@jairbolsonaro) January 3, 2019

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