Uruguay’s Deep Water Port Receives Major Backing from Brazil

Patrick Archer competitiveness, foreign investment, real estate, uruguay

Puerto Aguas Profundas Rocha Uruguay

Brazil views the Port of La Paloma as a complementary facility to their port in Rio Grande do Sul.

Major technical and financial support for the largest infrastructure project in Uruguay’s history may come from neighboring Brazil. According to El Observador, Brazilian public and private sector entities are interested in playing a major role in the construction of the mega-port facility planned for Rocha.

The Minister of Brazilian Industry, Fernando Pimentel, says his country will support the Port of La Paloma “because it’s a strategic regional project” and one that could help lower Brazil’s regional transportation costs dramatically. Brazilian officials are viewing La Paloma as a complementary facility to their existing deep water port in Rio Grande do Sul.

In the spirit of public/private partnership, Brazil is bringing an advisory team from their National Development Bank (BNDES) to assist with the port’s financial planning, while Pimentel encouraged private sector Brazilian companies with global port experience to participate in the early stages of port planning which Uruguay will initiate in the coming weeks.

Brazil joins a growing list of countries including interested in having a technical or financial stake in the Port of La Paloma. Chinese Premier Wen Jiabao discussed the project with President Mujica in June, while Japanese, South Korean and Spanish companies have also come forward. Uruguay plans to launch a Request for Proposals before the end of the year. (Full Story in Spanish)

For more information about living and investing in Uruguay, simply complete the form below.

[gravityform id=55 name=Living& Investing In Uruguay title=false description=false]