APM Terminals invests in Brazil

Chief executive, Keith Svendsen, made the €962 million commitment during a Dutch trade delegation to Brazil last week.

This figure includes an initial €296 million payment from a total of €483 million for the Phase One development of a new terminal in Suape as well as €666 million for the company’s four other terminals and island depots. Of this figure, €285 million has been earmarked for the Brasil Terminal Portuário (BTP) in Santos.

BTP is currently operating at 92% capacity, 12% higher than the 80% generally seen as the maximum for optimal efficiency. “Our primary focus is increasing capacity and modernisation. There is now an urgent need for investment in the Port of Santos, both to ensure the deepening of the access channel – which will allow the entry of new, larger, and more efficient ships – and to expand capacity of the port complex, which is close to the limit,” explained Svendsen.

APM Terminals is negotiating with the federal government to extend its concession agreement, which expires in 2027, for another 20 years. In exchange, APM Terminals has pledged to modernise and double the current 1.5 million teu capacity of the terminal.

As well as expanding BTP, APM Terminals and joint operators, Terminal Investment Limited have mooted a new container terminal at the Port of Santos, STS 10, located next to the existing terminal, although this plan is yet to gain government approval.