The waterway of the Paraguay and Paraná rivers, whose concession expires in just over 5 months, on April 30, 2021, will be governed in the future according to a tender that will be defined by the Ministry of Transportation, led by Mario Meoni, as established by the Decree 949/20, published this Friday in the Official Gazette.

The resolution implies an operational definition of what was announced by President Alberto Fernández on August 28. In this sense, Transportation will determine the modality of the Federal Hidrovía Council (CFH), the entity in which the seven provinces that border that navigable course will participate: Buenos Aires, Chaco, Corrientes, Entre Ríos, Formosa, Misiones and Santa Fe.

In principle, the National State would have a 51% stake in the capital stock and the remaining 49% would be made up of the 7 provinces involved, perhaps with proportions depending on the role in each case.

Transportation may also summon “non-governmental and trade union organizations, as well as other entities or public or academic organizations with an interest in the matter.”

In this sense, it was instructed that the necessary measures be taken in order to guarantee the continuity of the trunk road navigation. This suggests that there could be an eventual extension of the current concession, with the current operators, based on the fact that these types of tenders usually take longer than 5 months.

In this sense, from the Chamber of the Oil Industry of the Argentine Republic and the Cereal Exporters Center (CIARA-CEC) promoted by social networks a prompt implementation of the bidding process.

The section today regulated by the Concession Contract awarded according to decree 253/95, during the Carlos Menem government, includes between kilometer 1238 of the Paraná River, a point called Confluencia, to the Deep Natural Waters Zone, in the Río de la Exterior silver, up to kilometer 239.1 of the Punta Indio canal, via the Ingeniero Emilio Miter Canal and the Paraná de las Palmas River, Paraná Bravo River, Paraná Guazú River, Talavera River, Paraná River – Atlantic Ocean.

One detail to take into account is that the decree established a period of two years, from this Friday, for the call and award of the tender for the tasks of dredging and redrawing, maintenance and signaling, in relation to other sections of the waterway

The Paraná-Paraguay waterway is strategic for the Argentine economy, to such an extent that its regulation and future tender were raised by officials of the International Monetary Fund at a meeting held in October.

From the body that negotiates the public debt with our country, they understand that more than 80% of Argentine agro-industrial production circulates there, crucial to generate the foreign exchange that gives air to the economy.

The hydrova symbolizes the channel of the main dollar-generating activity for the country, which renegotiates the debt of US $ 44 billion with the body led by Bulgarian Kristalina Georgieva.

The concern arose after the President announced the future state control through the Federal Agreement of the Paraguay-Paraná Waterway and doubts about the instrumentation arose from abroad.

The subject also worries borders within. Also in October, the Argentine Industrial Union (UIA) presented Meoni with a 3,000-page report on what the most optimal development of the waterway should look like. The business center wants to avoid state financing, lower the cost of transportation and optimize the system. To achieve this, it proposes that, with a toll rate of US $ 2.82 per TRN (Net Registered Ton), 8% lower than the current US $ 3.06, it would be enough to finance all expansion works and deepening that is proposed. They calculate a saving per ton transported of the order of 20%. However, other private studies criticized these technical calculations.