Câmara de Comércio Sueco-BrasileiraSwedish-Brazilian Chamber of Commerce
Fact Pack
Railway sector in Brazil
Swedish Trade Council Brazil
January, 2005
Câmara de Comércio Sueco-BrasileiraSwedish-Brazilian Chamber of Commerce
• Rio de Janeiro
• Porto Alegre
• Curitiba• São Paulo
• Belo Horizonte
• Recife
• Fortaleza• Belém
• Manaus
• Brasilia
Brazil – Basic FactsBrazil – Basic Facts
- 5th largest country in the world in area (19 times larger than Sweden)
- 180 million inhabitants (5th after China, India, USA and Indonesia)
- 40 million consumers with Swedish purchasing power or stronger
- 47% of total GDP in South-America
- The Swedish-Brazilian companies invested over USD 3.3 billion over
the last five years and plan investments for the coming five-year
period of more than USD 3.1 billion
Political system: President:
States:Largest cities:
Exchange rates: (Jan2005)
Life expectancy:Urbanization:
DemocracyLuis Inácio Lula da Silva26: Brasília (capital), São Paulo, Rio de Janeiro, Curitiba, Porto Alegre, Belo HorizonteUSD 1,00 = R$ 2,90SEK 1,00 = R$ 0,3867,6 years82%
Brazil - 8 500 000 Km2
Câmara de Comércio Sueco-BrasileiraSwedish-Brazilian Chamber of Commerce
• The railway production increased by 54% between 1998 -2004
• During the first semester of 2004, the production increased with16% compared to same period of 2003
• Due to the old railway structure, the sector has invested around US$ 2 Bi in grid and rolling stock, including recovery of inherited scrapped fleet
• A great part of the sector is composed by private companies
• With the investments and the new technologies in quality, the railroad related accidents has decreased with 60%
• The present challenge is to increase participation of the railway sector in the transport matrix, which will result in a reduction of operational transport costs of R$ 11 billion between 2004 and 2008
The Railway sector has been growing considerably over the last The Railway sector has been growing considerably over the last two yearstwo years
General information
Câmara de Comércio Sueco-BrasileiraSwedish-Brazilian Chamber of Commerce
Brazilian Railways mapBrazilian Railways map
Exiting RailwayPlanning Railway
Metropolitan Company in Distrito Ferderal
CPTM and Metrô in São Paulo
Metrô Fluminense
Urban Railway Brazilian Company
Urban Company of Porto Alegre
Principal Railways
Câmara de Comércio Sueco-BrasileiraSwedish-Brazilian Chamber of Commerce
For 2005, the railway production is estimated to increase with 6% compared to 2004 …
Railway Production (Freight Transported in Billions- TU) - 1997-2004
Note: TU = Unit Tons CAGR: Compound Annual Growth RateSource: ANTT; Ministry of Transport; Information provided by ANTF partners; IPEA;
MCMRate: USD 1,00 = R$ 2,90
CAGR 1997-20035,1% a.a
54%
Mining and Coil
≈ 255,8 millions TU
General Freight≈ 176,3 millions TU
≈ 402,1 milhões TU212,7
225,8
TOTAL
Volume Transported1997 = 255,5 millions / TU2004 = 377,8 millions / TU
Increase of 48%
Câmara de Comércio Sueco-BrasileiraSwedish-Brazilian Chamber of Commerce
… and generate a 57% increase in transport supply capacity and a 6% gain in the transport matrix...
Railways Production - 2003-2008(billion of TKU)
Railways Production - 2003-2008(billion of TKU)
Transports Matrix - 2003-2008(%)
Transports Matrix - 2003-2008(%)
2003
45%
57%
Highway
Railway
Waterway ~40%International Standard
20032008Considering
concessionaires investments
2008Considering
concessionaires and Government
investments
2008Considering
concessionaires investments
2008Considering
concessionaires and Government
investments
24% 28% 30%
62% 59% 57%
14% 13% 13%
Note: 1) Excludes pipeline and air transportation. Matrix refers to the 2000 matrix adjusted for 2003 considering a 13% increase in railway transportation and 3% (GDP growth) in other modalities
Source: Information provided by the concessionaires; Statistical Yearbook 2001 – GEIPOT; Information provided by concessionaires; analysis by A.T. Kearney