Argentina is on the brink of a major economic transformation as President Javier Milei’s administration announces the privatization of Belgrano Cargas, a crucial step towards reform.
This move, the first under Milei’s leadership, involves the concession of Belgrano Cargas y Logística S.A., responsible for managing key rail lines spanning across 16 provinces. While services will be handed over to private entities, national ownership of rail tracks and land will be retained.
The decision stems from the company’s significant deficits and bloated workforce, which has burdened taxpayers. Manuel Adorni, a presidential spokesperson, highlighted the state’s previous financial injections into the company, underscoring the need for change.
During a conference with Diego Chaher, plans for further railway privatizations were hinted at, signaling a broader shift in the country’s infrastructure management. Concessionaires will be obligated to provide open access to all operators for transporting goods on these lines.
This bold move sets the stage for a more efficient and competitive railway system in Argentina, signaling a new era of economic development under Milei’s leadership.