Govt grants 25‑year Hydrovia concession, cuts logistics costs

The national government has formalized the award of the Paraná‑Paraguay Hydrovia concession to the consortium formed by Belgian company Jan De Nul and Argentine firm Servimagnus, which will be responsible for operating, maintaining and modernizing the country’s main waterway for the next 25 years. The decision was formalized by the National Agency of Ports and Navigation (ANPyN), which concluded the bidding process that began at the end of 2025 to define the future of the Main Navigable Route.

The concession includes dredging, re‑dredging, signaling and maintenance of the river route that carries nearly 80% of the nation’s exports, as well as works to improve the corridor’s operational capacity and optimize navigation conditions. The Ministry of Economy indicated that the new phase should reduce logistics costs by about 13.5%, allowing ships to complete loads at origin ports and strengthening the competitiveness of Argentine products in international markets.

According to documentation submitted by the award‑winning group, the project foresees revenues exceeding $15.7 billion over the entire contract term, with an average annual turnover above $628 million. Projections also show growth in vessel movements in the coming years, with international traffic estimated at more than 38% and coastal (cabotage) transport around 28%. An increase of over 50% is also expected in ship traffic to ports north of Santa Fe. The most significant works are slated for the first seven years of the concession, including channel deepening, operational upgrades and the adoption of new technologies to enhance navigation safety and combat illicit activities.

The award requires the concessionaire to establish a Special Purpose Vehicle and provide guarantees of $40 million to ensure contractual compliance, plus an additional $35 million guarantee before the final signing. The model will be a public‑works‑by‑toll and private‑risk scheme, without direct state funding for the investments. The contract has an initial duration of 25 years, with the possibility of extending up to five more years.