Indefinite fiscal regime affects port projects

BTP, the largest container terminal owner in the country, had been planning to purchase four new portainers, ou super cranes, to further streamline its operations at the Port of Santos (SP). Known as a “ship-to-shore” (STS), the equipment facilitates the loading and unloading of large ships. Measuring 120 meters high and weighing 1,600 tons, each crane can cost US$ 10 million. The Swiss company, Terminal Investment Limited (TIL), headquartered in Geneva and the main shareholder of BTP, operates on five continents and chose to order the cranes in Ashdod (Israel).

The acquisition plan, however, has been postponed.

The reason for suspending the purchase of the portainers was the uncertainty surrounding the special tax regime called Reporto that exempts investments in ports and railways. The regime expired at the end of last year – after a decade and a half of successive extensions.

“Without Reporto, each STS in Santos would cost US$ 15 million. It is difficult to explain to a foreign investor that the same equipment budgeted a short time earlier will suddenly be 50% more expensive”, says Antônio Patrício Junior, investment director at TIL.

Source: Valor Econômico

To read the full original article, access the link below:

https://valor.globo.com/brasil/noticia/2021/06/08/indefinicao-sobre-regime-fiscal-afeta-projetos-em-portos.ghtml

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