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The Chinese railroad in Brazil

Popularity 4Viewed 2683 times 2017-2-10 21:27 |System category:Economy| especially, successful, agreement, believe, Chinese

China's Prime Minister Li Keqiang was in Brazil in 2015 and has signed several bilateral trade agreements. Among them, one created a lot of expectation, especially in the state of Mato Grosso (the largest Brazilian soybean producer), which was the construction of the "bioceanica" railroad, which would leave the Atlantic Ocean, pass through Mato Grosso and reach the Pacific Ocean, in Peru.

Unfortunately the agreement has not been successful, at least until now. And even more unfortunately, I believe that the reason for the non-construction of the railroad was the interest of the soybean traddings in not having a railroad, strategically like the "bioceanica", on control of China.

The big problem is that traddings have the political capacity to abort a project like the railroad in partnership with China, but it does not present an alternative proposal, in this way Mato Grosso remains without a railroad and remains depending on the old and dangerous highways, besides leaving commodities , such as soy, very expensive.

With freight being very expensive, the federal government maintains a tax benefit for exports, which weakens the cash of the various levels of Brazilian government, such as central, states and municipalities. Certainly, this is a satisfactory picture for Traddings, who continue to control the soybean trade in Mato Grosso, in a production mode that concentrates incomes and brings benefits to the population.

Mauricio Munhoz Ferraz is sociologist in Mato Grosso
mauriciomunhozferrraz@yahoo.com.br

(Opinions of the writer in this blog don't represent those of China Daily.)


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Comment Comment (6 comments)

Reply Report cruisercba 2017-2-11 00:37
A very elucidative text. Traddings monopolize soy trade in Brazil
Reply Report wangbeijing 2017-2-12 05:24
This is wind capitalism.
Reply Report HailChina! 2017-2-20 17:08
If I was Brazilian I would not want China or any other foreign government - or even private foreign capitalists - to own any of the national infrastructure. I think China is a jerk to be trying to own infrastructure of other nations and it will serve China right when this stuff is nationalized by anti-Chinese governments that are sure to come. Why would China want to actually own the infrastructure of other nations/peoples? Why would China think that this would not be a problem? Even if China can get governments to agree to this kind of thing it will always be there and at risk. China is now like USA capitalist imperialists and I guess in years to come we will hear China waffling on about protecting 'Chinese interests' that are not even in China. And this from people that ridiculously refer to themselves as communists.

Is it any wonder we are getting anti-Chinese riots in different nations when China acts like this?

Is it win-win is it? China owns the infrastructure in Brazil. That does not sound very win-win to me.
Reply Report HailChina! 2017-2-20 17:09
China is a liar.
Reply Report munhozmauricio 2017-2-21 00:34
HailChina!: If I was Brazilian I would not want China or any other foreign government - or even private foreign capitalists - to own any of the national infrastru ...
You are approaching the Chinese point of view, but I am speaking from the point of view of Brazil, which is not in infrastructure, nor the money for it. Therefore, it is necessary to seek external investment, without delivering the exploration of the business.
Reply Report mauriciomunhoz 2017-3-10 03:56
The export of infrastructure

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  • The Chinese railroad in Brazil 2017-3-10 03:56

    The export of infrastructure

  • The Chinese railroad in Brazil 2017-2-21 00:34

    HailChina!: If I was Brazilian I would not want China or any other foreign government - or even private foreign capitalists - to own any of the national infrastru ...
    You are approaching the Chinese point of view, but I am speaking from the point of view of Brazil, which is not in infrastructure, nor the money for it. Therefore, it is necessary to seek external investment, without delivering the exploration of the business.

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