{"id":92690,"date":"2025-01-27T14:24:43","date_gmt":"2025-01-27T17:24:43","guid":{"rendered":"https:\/\/murray.adv.br\/?p=92690"},"modified":"2025-01-27T14:24:45","modified_gmt":"2025-01-27T17:24:45","slug":"cofco-invests-r1-2bn-in-rail-transport-for-agribusiness","status":"publish","type":"post","link":"https:\/\/murray.adv.br\/en\/cofco-invests-r1-2bn-in-rail-transport-for-agribusiness\/","title":{"rendered":"Cofco invests R$1.2bn in rail transport for agribusiness"},"content":{"rendered":"\n
Company to acquire 979 railcars and 23 locomotives to move grains and sugar<\/em><\/strong><\/h6>\n\n\n\n

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01\/27\/2025 <\/p>\n\n\n\n

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Cofco International, the Chinese agribusiness giant and one of the world\u2019s largest agricultural trading companies, will invest R$1.2 billion in the acquisition of 979 railcars and 23 locomotives to enhance its logistics operations in Brazil. The new fleet will transport grains and sugar to the Cofco Export Terminal (TEC) at STS-11 in the Port of Santos (S\u00e3o Paulo), via Rumo\u2019s railway network.<\/p>\n\n\n\n

\u201cThis project aims to improve the efficiency of rail transport for grains and sugar, reducing dependence on road transportation and the associated carbon emissions. The partnership marks a significant milestone for national logistics, with the potential to substantially decrease the number of trucks on the roads, easing traffic congestion and reducing environmental impact,\u201d said Fabr\u00edcio Degani, logistics director for Cofco International\u2019s grains and oilseeds division in Brazil.<\/p>\n\n\n\n

Mr. Degani estimates the new railcars and locomotives will have the capacity to transport 4 million tonnes of grains and meal annually from the Central-West region\u2014where Cofco operates storage facilities and crushing plants\u2014and sugar from S\u00e3o Paulo\u2019s interior, home to four Cofco-owned sugar mills, to the Port of Santos.<\/p>\n\n\n\n

Transporting this volume by road would require nearly 100,000 truck trips annually. \u201cWe are focusing on more sustainable solutions to drive logistical expansion,\u201d Mr. Degani stated. Cofco estimates that rail operations will reduce greenhouse gas emissions by 80% compared to truck transportation.<\/p>\n\n\n\n

This investment adds to the company\u2019s efforts to expand the STS-11 agricultural terminal. In 2022, Cofco secured the lease for the terminal in a public auction, committing $285 million to increase export capacity from 4.5 million tonnes to 14.5 million tonnes per year by 2026.<\/p>\n\n\n\n

Deliveries of the railcars and locomotives will begin in March, with full operation of the fleet expected by the first quarter of 2026. The locomotives will be manufactured by Wabtec at its Contagem (Minas Gerais) plant, while the railcars will be produced by Greenbrier Maxion in Hortol\u00e2ndia (S\u00e3o Paulo).<\/p>\n\n\n\n

The operation of Cofco\u2019s new fleet will be managed by Rumo, which already operates a fleet of 33,000 railcars and nearly 1,000 locomotives. \u201cThis addition of capacity from Cofco aligns perfectly with Rumo\u2019s expansion plans,\u201d said Eudis Furtado, Rumo\u2019s vice president of commercial operations. He highlighted Rumo\u2019s ongoing projects, including the construction of 700 kilometers of railway in Mato Grosso, connecting the Midwest region and S\u00e3o Paulo to the Port of Santos. \u201cThrough this contract with Cofco, we will expand our footprint in the Port of Santos, optimize national logistics, and help reduce Brazil\u2019s infrastructure bottlenecks,\u201d Mr. Furtado added.<\/p>\n\n\n\n

Currently, Cofco unloads over 110,000 trucks and more than 85,000 railcars annually at the Port of Santos. The company expects to handle 8 million tonnes of grains, sugar, and soybean meal at the terminal in 2025. By 2026, with the completion of the STS-11 upgrades and third-party service offerings, the terminal\u2019s throughput is projected to reach 14.5 million tonnes, handling grains and soybean meal from the Midwest and sugar from S\u00e3o Paulo\u2019s interior.<\/p>\n\n\n\n

Cofco plans to export 70% to 80% of its Brazil-originated products through Santos, with the remaining volume shipped via the Northern Arc ports, in partnership with Hidrovias do Brasil. Mr. Degani noted that Cofco has plans to expand in the Northern Arc but declined to provide further details at this time.<\/p>\n\n\n\n

In 2023, Cofco moved approximately 15 million tonnes of agricultural products in Brazil, a volume expected to grow with the Santos terminal in full operation. The company anticipates creating 480 direct jobs through the terminal\u2019s construction.<\/p>\n\n\n\n

Meanwhile, Rumo is also investing heavily to expand capacity via the Port of Santos, including the North-South Railway, Mato Grosso Railway, Paulista Network upgrades, and the Santos terminal. According to Mr. Furtado, Rumo has 5,000 workers engaged in the Mato Grosso railway expansion project, with investments ranging between R$3.8 billion and R$4.5 billion for its first phase, set to begin operations in 2027. Rumo operates nearly 13,000 kilometers of railway across Brazil, transporting over 20 million tonnes of soybeans, corn, and meal annually to the Port of Santos.<\/p>\n\n\n\n

*By\u00a0Cibelle Bou\u00e7as \u00a0\u2014 Belo Horizonte<\/p>\n\n\n\n

Source: Valor International<\/p>\n\n\n\n

\nhttps:\/\/valorinternational.globo.com\/\n<\/div><\/figure>\n","protected":false},"excerpt":{"rendered":"

Company to acquire 979 railcars and 23 locomotives to move grains and sugar 01\/27\/2025 Cofco International, the Chinese agribusiness giant and one of the world\u2019s largest agricultural trading companies, will invest R$1.2 billion in the acquisition of 979 railcars and 23 locomotives to enhance its logistics operations in Brazil. The new fleet will transport grains […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8106],"tags":[25823],"class_list":["post-92690","post","type-post","status-publish","format-standard","hentry","category-murray-news","tag-rail-transport-for-agribusiness"],"yoast_head":"\nCofco invests R$1.2bn in rail transport for agribusiness - Murray Advogados<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/murray.adv.br\/en\/cofco-invests-r1-2bn-in-rail-transport-for-agribusiness\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Cofco invests R$1.2bn in rail transport for agribusiness - Murray Advogados\" \/>\n<meta property=\"og:description\" content=\"Company to acquire 979 railcars and 23 locomotives to move grains and sugar 01\/27\/2025 Cofco International, the Chinese agribusiness giant and one of the world\u2019s largest agricultural trading companies, will invest R$1.2 billion in the acquisition of 979 railcars and 23 locomotives to enhance its logistics operations in Brazil. 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