Port of Santos Railway Operator Expands Investments, Accelerates Billion-Dollar Infrastructure Overhaul

The management association of the Internal Railway at the Port of Santos (Fips), which includes the companies Rumo, MRS, and VLI, states that it is meeting its investment schedule and accelerating construction projects. Fips celebrated its first anniversary in October.

The association’s goal is to operate, maintain, and expand the railway infrastructure serving the Santos port complex under a 35-year contract that can be renewed for an additional 35 years. The investment over the first five years is expected to be at least R$1 billion. According to the Port Authority of Santos (APS), these investments are in line with the terms of the concession agreement.

The highlight of the key infrastructure works is the railway loop. Located in Outeirinhos on the Right Bank of the Port of Santos, the structure will be built on an area of 102,000 square meters, currently occupied by the Marimex terminal.

Work began in January, and the project’s completion timeline is 24 months. It involves the construction of a circular yard that will enable the transfer of cargo without the need to disassemble the train.

The project is divided into seven phases. Phase 1, which involves reinforcing railway bridge three on the Mercado Canal, began in October 2023 and was completed earlier this year. Phases 2 and 3, which include realigning tracks and expanding the rail lines for both empty and loaded wagons, started in August 2024 and are expected to be completed by early 2025.

In the following year, work will continue on implementing phases 4, 5, and 6, which focus on adapting the terminals to the new operations. The project will be finished in the second half of 2026 after the completion of Phase 7. “This is an intervention that has been awaited for decades and is now progressing at a strategic moment,” stated Fips in a press release.

Additionally, the renovation of the Conceiçãozinha yard on the Left Bank of the Port in Guarujá, which was initially planned for completion in five years (2029), was finalized in August of this year.

“Also noteworthy are the works in the Macuco area, focused on serving the cellulose cluster (STS14 and 14-A). This project will be completed ahead of schedule by the end of the year and will provide infrastructure to support the Suzano, Bracell, and Eldorado terminals,” added Fips.

João Almeida, president of the managing association, emphasizes the power of collaboration between the main railway concessionaires to transform access to the Port of Santos, which is vital for the export flow of Brazilian goods.

“We have achieved historic records in unloading times and railcar turnaround at port terminals, resulting in increased cargo handling. These are achievements that reinforce our commitment to the development of the Port of Santos,” he said.

Growth

Rodrigo Paiva, a Master of Science in Transport Engineering and partner at Graf Infra Consulting, explains that Fips increased the volume transported by 10.2% between November 2023 and September 2024.

“This is the first measurable achievement. We know there’s still much to be done, but it’s understood that the first years of such an operation are focused on executing projects, defining schedules, preparing contracts, and starting the construction works,” Paiva explained.

According to him, future developments are expected to include more significant infrastructure works, “such as the road access at the Port entrance, the railway loop, and other improvements outlined in the concession contract,” he added.

Source: A Tribuna

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