Brazil’s Rail Network to Expand to 10,000km by 2020

22 March 2010 (Last Updated March 22nd, 2010 18:30)

Brazil will double its railroad expansion from 5,000km of railways worth R$18bn ($10bn), to 10,000km in the next ten years, Deputy Transport Minister Paulo Sergio Passos said. The aim is to increase the use of rail for cargo transportation from 25% to 32% by 2025, according to Bloomberg

Brazil will double its railroad expansion from 5,000km of railways worth R$18bn ($10bn), to 10,000km in the next ten years, Deputy Transport Minister Paulo Sergio Passos said.

The aim is to increase the use of rail for cargo transportation from 25% to 32% by 2025, according to Bloomberg.

This is expected to reduce transportation costs and make the country's goods more competitive abroad.

According to Brazil's Institute of Logistics and Supply Chain, transporting a tonne of goods 1,000km cost $27 by rail compared to $117 by road.