Brazil’s Amaggi, Big 4 Grain Traders Mull Transportation Venture
Group could make joint bid to operate road connecting the country’s grain belt to northern ports
The world’s big four agriculture traders and Brazilian rival Amaggi could make a joint bid to operate a road connecting the country’s grain belt to northern ports, while also considering an investment in a parallel railway, the firm that conducted a study on the potential venture said on Monday.
Reuters reports Archer Daniels Midland Co. (ADM), Bunge Ltd, Cargill Inc., Louis Dreyfus Co (LDC) and Amaggi have commissioned a study on operating a 968-kilometer stretch of the BR-163 highway for 10 years, according to infrastructure and logistics business development firm EDLP.
That highway is the leading grain artery to northern ports that were responsible for 28 percent of Brazil’s soy and corn exports in 2018, doubling their share in the last eight years.