en.Wedoany.com Reported - The Argentine government has awarded a 25-year concession to Jan de Nul NV and its local partner Servimagnus SA to carry out deepening and improvement works on the Parana River waterway, a key route for the country's agricultural exports. The project is part of President Javier Milei's strategy to drive infrastructure projects through private investment, with an estimated investment of approximately $10 billion. Jan de Nul, which has been conducting dredging operations on the waterway since the 1990s, won the bid against a proposal from DEME Group NV.
The waterway connects the Rio de la Plata estuary with the Rosario export port complex and other production areas in Argentina's interior. Approximately 80% of Argentina's grain and oilseed exports are transported via this waterway, with the agricultural sector accounting for about 60% of the country's total exports. The main component of the contract is deepening the channel leading to Rosario, with plans to increase the draft from 36 feet to 40 feet, along with studies to assess the possibility of further expansion to 44 feet. If realized, the greater depth would allow increased loading volumes at upstream river ports, reducing the need to complete cargo loading at Atlantic terminals before international voyages.
The concession was granted after a multi-year process that had remained incomplete. Jan de Nul's previous contract expired in 2021, but the government at the time failed to complete a new tender, and the company continued operations through temporary extensions. The Milei government pushed for a new tender last year, which included plans to expand the waterway, but the process was canceled after questions arose regarding alleged favoritism toward Jan de Nul. The award has also been accompanied by allegations of Chinese influence in the consortium led by Jan de Nul and Servimagnus, which both companies have repeatedly denied. The modernization of the waterway aims to address operational constraints exposed in recent years, particularly during drought periods, when draft restrictions and changes in channel conditions led to increased logistics costs, shipment delays, and navigation difficulties.
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