Salvador’s growth aims to cut costs

The facility is the only dedicated container facility in the Bahia region and is currently operating at maximum capacity. Expansion plans are due to be completed in March 2012 when the terminal will have a container handling capacity of about 500,000 teu. This will rank Salvador among Brazil’s Top 10 largest container terminals.

David Creighton of Cordiant Capital, explains: “Port capacity in Brazil is completely saturated due to the country’s booming exports. The shortage of port handling capacity is hampering the country’s economic growth and infrastructure investments are urgently needed to remedy this.”

“Capacity constraints at Salvador’s port meant that goods produced in Bahia, such as cotton, have had to be shipped from Santos’ port, which is 2,000 km south of the state. Salvador’s expansion will cut transport costs dramatically.”

The project will allow the terminal to accommodate more cost-effective post-Panamax vessels as well as increasing the container storage area and allowing for the installation of nine new cranes and other equipment.