São Paulo State Dock Company included in Privatisation Program

After first commanding an ordinary meeting of the Investment Partnership Program (PPI) on Wednesday, August 21, the Minister Onyx Lorenzoni, announced that the São Paulo State Dock Company (Codesp) was included in the National Privatisation Program (PND). The Minister of Infrastructure, Tarcísio Gomes de Freitas, celebrated the “destatisation of the largest port in the Southern Hemisphere”.

The minister emphasised that a Brazilian delegation led by the national secretary of ports, Diogo Piloni, is visiting Australia to understand details about conducting the destatisation studies of the ports of Melbourne, Brisbane, Darwin and Sydney, produced by PricewaterhouseCoopers, one of the largest companies of audit and consulting firm. The leader of the infrastructure portfolio also recalled that Brazil “today has the largest asset transfer program for the private sector in the whole planet”. The aim, according to him, is to reach the best format for the country. “It could be a public offering of shares, concession of services with public port authority or even privatisation.” PPI Special Secretary Martha Seillier said it is not yet possible to estimate the amount of investments related to concessions and privatisation at the Port of Santos. “But the values will certainly be very large,” concluded.

The São Sebastião (CDSS), Espírito Santo (Codesa) dock companies and Suape Industrial and Port Complex in Pernambuco have already been included in the PND at previous meetings. Other important state-owned companies such as Correios and Eletrobras were also qualified for a future transfer to private enterprise. “We are redefining the role of the state, after all we do not want an ‘entrepreneurial state’,” said Salim Mattar, special secretary for privatisation, development and markets at the Ministry of Economy. Modeling the sales format of each company will go through long study processes, which will hardly be less than 18 months.

In just over three years of operation, PPI qualified 248 projects, 151 of them already auctioned. The expectation of the Federal Government is to stimulate R$ 262.5 billion in investments in the coming years, in addition to raising grants of approximately R$ 52 billion.