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Brazil changes port terminal concession award criteria

Brazil changes port terminal concession award criteria
Brazil's planned port privatisation has been delayed futher and is now postponed until the first half of 2016.

Brazil’s Ports Minister Edinho Araujo said that the so-called block two port terminal concession award decisions will be based on the highest canon payment offered as opposed to the lowest tariff charges proposed, that these new criteria, “which are based on requests from the private sector, are more appropriate and we're expecting to use them from the beginning of 2016".

Valued at an estimated $2.36bn, block two tenders are due to be launched in the first half of 2016 and involve 21 terminals at various ports.

The terminals are at the ports of Rio de Janeiro, Paranaguá (Paraná state), Itaqui (Maranhão state), Santana (Amapá), Manaus (Amazonas), Suape (Pernambuco), São Sebastião and Santos (São Paulo), São Francisco do Sul (Santa Catarina) and Aratu (Bahia).

Block two tenders are part of the federal government's overall port infrastructure investment plan of $12.06bn. It is part of the country's logistics investment programme which was announced on 9 June.