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Brazil Property News: Nearly £1b to be invested in Brazilian trains
19th September 2007 09:53
The National Agency for Land Transport (ANTT) has prompted railways companies to invest nearly £1 billion in the Brazilian railway system in a recent report.
Statistics for 2006 indicated that 389.1 million tons of cargo was transported by the Brazilian rail network, which achieved a 20.5 per cent decrease rate in railway accidents since 1998 when the sector was privatised.
The report also revealed a 3.7 per cent increase in potential production capacity of the railway network in comparison with 2005.
Brazilian railway cargo and transport systems rely on 11 main concessionaires, which transport a range of goods including steel, fuel and cement. Of these 11 companies ten reported positive results last year, suggesting real growth in the rail industry.
New calls for investment from the ANTT, however, follow data showing that the country’s 18,390 miles of railway track has not grown in proportion to trade demands the network faces.
The ANTT is the regulatory body for Brazil’s overland transport sectors, highways, railways and cargo transport and, as well as overseeing government concession contracts, it also grants permission for companies to transport passengers and cargo.
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