Brazil’s Babitonga Bay to receive up to BRL 15 billion in investments by 2036

The Babitonga Bay Port Complex, one of the most significant estuaries in Santa Catarina, is set to undergo a major expansion and deepening project. This initiative, with an estimated budget of approximately R$300 million, was made possible by a protocol of intentions signed earlier this month by Santa Catarina’s governor, Jorginho Mello.

This agreement, which details the funding model, environmental licensing, contracting, execution, and oversight of the work, is heavily centered on the Ports of São Francisco do Sul and Itapoá.

The following chart below delves into the volume of cargo exports and imports in the ports of S. Francisco do Sul and Itapoa between Jan 2021 and Apr 2024. It features data from Datamar’s maritime intelligence service DataLiner.

S. Francisco do Sul and Itapoa Port | Exp & Imp | Jan 2021 – Apr 2024 | WTMT

Source: DataLiner (click here to request a demo)

The dredging project aims to deepen and widen the external channel of Babitonga Bay, increasing its depth from the current 14 meters to 16 meters. This will enable the navigation of vessels up to 366 meters in length, compared to the current limit of 330 meters.

Cleverton Vieira, president of the Port of São Francisco do Sul, emphasized the importance of this project for maintaining the state’s competitive advantage. “It will ensure that Porto Itapoá can accommodate the largest container ships that sail along the Brazilian coast. For the Port of São Francisco, it will enhance navigation safety and efficiency for deep-draft ships, both bulk carriers and general cargo ships,” Vieira said.

Cássio José Schreiner, president of Porto Itapoá, highlighted the project’s broader economic benefits. “This initiative will generate more income, create jobs, and spur further regional development. Santa Catarina’s robust industrial sector needs this infrastructure to facilitate production transport. Additionally, the sand dredged from the bay will be used to widen the coastal sand strip, addressing coastal erosion issues in Itapoá,” Schreiner noted.

Babitonga Bay Port Complex

Located in northern Santa Catarina, the Babitonga Bay Port Complex accounts for over 60% of the state’s port sector activity, according to the National Waterborne Transport Agency (Antaq). The bay’s natural conditions, featuring calm and deep waters, make it ideal for the safe navigation of large vessels, tourist boats, and small craft. Babitonga is the largest navigable bay in the state, spanning more than 130 km².

These favorable conditions mean the bay requires minimal maintenance, significantly reducing the need for dredging. The port’s success is closely tied to the region’s economic prosperity, and its strategic location makes it a focal point for investors.

The port complex, surrounded by the municipalities of Araquari, Balneário Barra do Sul, Garuva, Itapoá, Joinville, and São Francisco do Sul, exemplifies infrastructure and logistics investments that promote sustainable economic development. It serves multiple chains, including grains, metals, industrial inputs, containerized or bulk cargo, and fuels.

To accommodate the anticipated increase in ship traffic, the Port Authority of the Port of São Francisco do Sul has established a new anchorage point in Babitonga Bay, authorized by the Brazilian Navy and located near the entrance to the access channel.

Investments

Currently, the region hosts over 20 port and hinterland logistics companies, along with various industries. Planned public investments are expected to significantly boost the production capacity of the Babitonga Bay Port Complex. Innovations include an access channel capable of receiving larger ships, increasing capacity from approximately 10,000 TEUs to 16,000 TEUs, thereby enhancing regional productivity.

However, this growth must be matched by improvements in road transport since the increased cargo influx implies more goods traveling inland.

Source: Metrópoles

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