Cofco Invests R$1.2 Billion in Brazil to Enhance Agribusiness Logistics

Cofco International, a leader in global agribusiness, is investing R$1.2 billion in rail logistics. This project aims to revolutionize Brazil’s grain and sugar transportation network for better efficiency. This was reported by the railway transport news portal Railway Supply.

Streamlined Rail Transport by Cofco

Cofco’s investment includes 979 railcars and 23 locomotives, enhancing logistics in key agricultural regions. Grain and sugar shipments will move to the Cofco Export Terminal (TEC) at STS-11 in Santos, São Paulo.

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Fabrício Degani, logistics director for Cofco’s grains and oilseeds division, highlighted the environmental benefits. “This project will reduce road transport reliance and cut carbon emissions,” he noted. Rail transport will eliminate nearly 100,000 annual truck trips, supporting sustainable logistics growth.

Cofco’s Terminal Expansion Supports Increased Exports

The investment aligns with Cofco’s $285 million commitment to upgrade the STS-11 terminal, increasing capacity to 14.5 million tonnes by 2026. Deliveries of locomotives and railcars, locally produced by Wabtec and Greenbrier Maxion, will begin in March 2025.

Rumo, Brazil’s largest rail logistics operator, will manage Cofco’s fleet, integrating it into a network of 33,000 railcars. This partnership supports broader goals of optimizing agribusiness transportation and reducing infrastructure bottlenecks.

Cofco also plans to expand operations in the Northern Arc ports, further diversifying its logistics capabilities. By 2026, the company expects to handle 14.5 million tonnes of grains, soybean meal, and sugar annually.

By focusing on sustainable rail transport, Cofco aims to modernize Brazil’s agribusiness logistics, meeting global demand while reducing environmental impact.

Source: valorinternational.globo.com

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