Ferrogrão Project Gains Momentum: Ministry of Transportation Receives Positive Legal Opinion

The Ministry of Transportation is moving forward with the Ferrogrão railway project. They’ve asked for legal advice to ensure they can share feasibility studies with the TCU, which oversees public spending. This project got a boost when Supreme Court Justice Alexandre de Moraes allowed the studies to continue earlier this year.

A document obtained by Valor shows that the Ministry’s legal team found no issues with submitting the updated Ferrogrão studies to TCU. This feedback is seen as a green light for the government to proceed with preparing for the upcoming auction.

With this legal backing, experts at the Ministry anticipate that the National Land Transport Agency (ANTT) will send the studies to TCU by early 2025. The government aims to hold the railway auction in the first half of 2026.

ANTT has stated that while they plan to submit the documents in July 2025, there isn’t a fixed date yet for when the review will actually start.

The Ferrogrão railway is a major focus of an investment plan set to launch in February. It will connect Sinop—an essential hub for soybean and corn production in Mato Grosso—to port terminals in Miritituba along the Tapajós River in Pará.

The railway will stretch about 976 kilometers and is expected to cut transport costs in the agribusiness sector by up to 30%. It also offers a more sustainable option compared to road transport, making it appealing to environmentalists.

The project did face some legal challenges. The Socialism and Freedom Party (PSOL) took action against the law that modified the Jamanxim National Park boundaries in Pará to make way for the railway parallel to BR-163.

Last December, the Ministry received a legal opinion suggesting they can start preparations for the auction and environmental licensing. However, it notes that they shouldn’t begin actual construction yet.

Transport Minister Renan Filho has emphasized the need for final approval from the Supreme Court before moving forward, despite expressing a desire to initiate the bidding process.

After Justice Moraes’ decision, the government formed a group to engage with indigenous leaders and environmentalists about the Ferrogrão studies. However, civil society members pulled out of these discussions, claiming the government wasn’t adequately considering their feedback and concerns about the project.

The last directive from Justice Moraes in this case was in September, where he requested an opinion from the Prosecutor General regarding statements submitted by ANTT and the Attorney General’s Office. This opinion has yet to be given.

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