April 24, 2012

Work Has Begun on Brazil's Largest Rail Terminal Complex

Author: Michael Cordonnier/Soybean & Corn Advisor, Inc.

Preliminary work has begun on the construction of the largest rail terminal complex in Brazil, which will be located in Rondonopolis Mato Grosso. The complex will consist of 400 hectares of land (1,000 acres) which has been divided into lots of 8 or 16 hectares where various companies will locate their operations. America Latina Logistica will operate the complex and they have announced that nearly all of the land has been sold to 12 different companies and that only one 8 hectare lot remains to be purchased.

The complex will consist of the traditional grain terminals as well as soybean crushing facilities, fertilizer mixing facilities, fuel depots, etc. The complex will have several spur lines connecting to the Ferronorte Railroad which will service the facility. The railroad is currently being built between Itiquira and Rondonopolis and it is scheduled to arrive at the complex in late 2012 or early 2013. When completed, the complex will contain the fourth grain terminal along the 250 kilometers of the Ferronorte Railroad that is inside the state of Mato Grosso.

One of the main advantages of this new complex is that it is located along highway BR-163 which is the major highway in the state of Mato Grosso and it is sometimes called the "Soybean Highway". Nearly all the soybeans produced in the state at some point travel along the highway either on their way to grain terminals or export facilities in southern Brazil. Since this new complex is located in southern Mato Grosso, the soybeans produced in central and northern Mato Grosso would still need to be trucked to the new facility via BR-163.