MRS Logistica Wabtec ES44ACi loco

BRAZIL: The Federal Audit Court has approved the early renewal of MRS Logística’s concession to operate freight services on its 1 643 km broad and mixed gauge network serving the states of Rio de Janeiro, Minas Gerais and São Paulo. This paves the way for MRS Logística to invest R$10bn in enhancing the network over the next 30 years.

MRS Logística’s current concession expires on November 30 2026, and the company will now continue to manage the network until the end of 2056. MRS says that it handles around 20% of Brazil’s export cargo, the main commodities being iron ore, steel, cement, bauxite, coal, agricultural produce and containers.

The court’s decision follows detailed analysis of MRS Logística’s submission which had previously been evaluated by the National Land Transport Agency. Rapporteur Jorge Oliveira said that much of the planned R$10bn investment will be used to expand capacity and improve the flow of products to the port of Santos.

MRS Logística will also allocate funds for 270 individual projects in 50 locations where there are conflicts with road traffic. In the São Paulo area, flows of rail freight will be segregated on routes shared with suburban passenger services operated by Companhia Paulista de Trens Metropolitanos. Track renewals and acquisition of new wagons and motive power are also envisaged.