Dubai headquartered DP World has joined forces with the Brazilian railway operator Rumo to build a new terminal at the Port of Santos, in order to handle 12.5 million tonnes a year of grains and fertilizers.
Rumo estimates the total investment for the construction of this facility at BRL 2.5b (US$500m), which will be financed through a combination of Rumo’s resources, loans, and potential strategic partnerships.
This is in addition to recent investments in DP World container handling facilities increasing capacity from 1.2 million TEUs to 1.4 million TEUs, while expanding the size of the quay from 1,100 metres to 1,300 metres.
Once complete the new terminal will handle 9 million tonnes of grains and 3.5 million tonnes of fertilizers a year.
The construction is expected to take 30 months with all other services including container handling at Santos will continue with no impact to container handling operations.
Under the 30-year agreement, DP World will provide the terminal area located on the left bank of Brazil’s Port of Santos to Rumo and assume responsibility for operations and port services.
The new terminal marks DP World’s fourth round of investment since operations began in Brazil in 2013.
It comes at a crucial time with the port achieving record cargo movements in January, handling 11.9 million tonnes of cargo. Bulk solids, such as sugar and soy, accounted for 5 million tonnes, up 13.9% compared to the same period in 2023, according to the Port of Santos.
Fabio Siccherino, chief executive of DP World Santos, to the agreement, said: “We are thrilled to partner with Rumo on this transformative project, which underscores our commitment to driving growth and innovation in Brazil’s logistics sector.
“This new terminal will not only bolster trade capabilities but also create long-term value for our customers and stakeholders.”
In line with DP World’s global decarbonisation strategy, the new terminal will be equiped with 21 new pieces of equipment, featuring advanced technology to reduce consumption and emissions of polluting gases.
DP World began the process of electrifying its Rubber-Tired Gantry Cranes (RTGs) at the Port of Santos in 2023.
DP World already invested US$35m in 2023 to expand and modernise its facilities at the Port of Santos.
The terminal currently inhabits 845,000 square metres, with an additional 130,000 square metres available for expansion.
Source: DP World
