Wedoany.com Report-Dec.16, International Container Terminal Services Inc (ICTSI), headquartered in Manila, has approved a substantial investment of 948 million Brazilian reais (approximately 175 million U.S. dollars) to expand and upgrade its Rio Brasil Terminal at the Port of Rio de Janeiro.

The multi-year program, spanning 2025 to 2029, will boost the terminal's annual handling capacity by over 70 percent, from 440,000 teu to 750,000 teu. This development aims to establish the facility as an important logistics hub serving Brazil's Southeast and Midwest regions.

Brazil's Minister of Ports and Airports, Silvio Costa Filho, highlighted the initiative as an example of private sector contributions to enhancing national port infrastructure. The allocation includes around 414 million reais for civil works and 533 million reais for equipment acquisition.

Key improvements encompass enlarged and integrated container storage areas, optimized internal circulation routes for better efficiency, additional ship-to-shore cranes and yard handling equipment, as well as upgraded electrical networks and utility installations. The terminal will also implement advanced automation features, enhanced access controls, and improved cargo tracking systems compliant with local customs standards.

Costa Filho noted that future phases could potentially raise capacity above 1.2 million teu, while the project is expected to generate employment opportunities and support regional economic activity.

The modernized infrastructure will accommodate larger vessels, including new panamax and post-panamax classes up to 366 meters in length and exceeding 13,000 teu. Initial deliveries of new cranes, capable of servicing ships up to 400 meters, are scheduled for mid-2026.

Roberto Lopes, chief executive of ICTSI Rio Brasil Terminal, explained that the expansion will help balance container traffic by diverting volumes from Santos, Brazil's primary port. He emphasized that the investment complements earlier expenditures exceeding 190 million reais on rail-linked logistics corridors connecting Rio to Minas and Suzano.

With phased capacity increases starting in 2026, ICTSI is actively promoting the additional throughput to prospective users. Upon completion, the terminal anticipates stable utilization rates around 75 percent by 2029-2030, leading to more reliable operations, shorter vessel waiting periods, and reduced overall logistics expenses.

Anders Kjeldsen, ICTSI vice-president for the Americas, described the undertaking as evidence of the company's ongoing dedication to operations in Brazil. ICTSI manages 34 terminals across 20 countries worldwide.

This strategic enhancement reflects continued private investment in Brazilian port facilities to meet growing trade demands and improve operational performance.