In a significant move towards the privatisation of railway services, the government has authorised a tender for the management of key railway lines, aiming to enhance competitiveness and reduce transport costs.
Details of the Tender
The tender, as outlined in Resolution N° 1350/2026, allows for the privatisation of the Belgrano, San Martín, and Urquiza railway lines over a period of 50 years. Companies will have the option to purchase rolling stock associated with each line. The public tender will be accessible to both national and international bidders, although a clause has been included to prohibit participation from companies controlled by foreign states, specifically targeting those with ties to the Chinese Communist Party. The tender process is intended to attract competitive offers and is expected to be facilitated through the digital platform CONTRAT.AR, where all relevant documentation will be published.
Investment and Infrastructure Goals
The privatisation initiative encompasses 7,594 operational kilometres of railway, spanning 16 provinces and connecting with five international borders. The government aims to transform the railway system into a competitive asset for exports, with initial investments projected at 755 million dollars. This includes 420 million dollars for the San Martín line, 260 million dollars for the Belgrano line, and 75 million dollars for the Urquiza line. The plan is designed to eliminate state subsidies, allowing the concessionaire to generate revenue through tolls and the commercial exploitation of adjacent properties, such as silos and logistics parks.
Regulatory Framework and Timeline
The tender process is set to open for queries until 28 October 2026, with bids due by 11 November 2026. The opening of offers will occur publicly on the same day. A dedicated evaluation committee will assess the proposals, ensuring a transparent selection process. The government has also expanded the benefits under the Régimen de Incentivo para Grandes Inversiones (RIGI) to include railway infrastructure, responding to demands from interested companies. This framework aims to incentivise significant investments in the railway sector, with a focus on modernisation and development of new infrastructure.
| Label | Value |
|---|---|
| Total Railway Length | 7,594 km |
| Investment for San Martín Line | 420 million dollars |
| Investment for Belgrano Line | 260 million dollars |
| Investment for Urquiza Line | 75 million dollars |
| Deadline for Queries | 28/10/2026 |
| Deadline for Bids | 11/11/2026 |
| Opening of Offers | 11/11/2026 at 10:00 hours |
The minister of Economy stated, “This tender seeks precisely to find those willing to invest to transform a broken system into a competitive engine for Argentine exports.”
WHY IT MATTERS
The privatisation of these railway lines is expected to enhance competition in the transport sector, potentially lowering costs and improving service delivery.
Reported from infobae.com, 2026-08-20. The Tender Wire is published by Otnox.
