Argentina's Bold Move: Privatization of Belgrano Cargas

Argentina's libertarian President Javier Milei has initiated the privatization of Belgrano Cargas, a major freight rail network. The loss-making company, controlling 7,600 kilometers of railway, aims to boost competitiveness and investment by transferring operations to private firms. This move aligns with Milei's wider privatization agenda.

Under the leadership of libertarian President Javier Milei, Argentina's government has announced the privatization of the Belgrano Cargas freight rail network, a pivotal player in the transportation of grains and raw materials.

The loss-making company, which operates 7,600 kilometers of tracks, will see its operations handed over to private enterprises. This aligns with the government's broader strategy to privatize state-owned enterprises, as confirmed by Secretary of State Companies and Corporations, Diego Chaher, during a press conference.

The decision aims to enhance the competitiveness of rail freight transport and attract investment within the sector. In doing so, Argentina hopes to implement 'market logic' into the railway industry, thereby strengthening its position as a leading supplier of soybeans, corn, wheat, and their derivatives.

(With inputs from agencies.)