Pecém Port and Industrial Complex: Integration for growth

13:40 14 de November de 2022 Por Daniel Oiticica

The Pecém Industrial and Port Complex (CIPP), located in the municipality of São Gonçalo do Amarante, about 60 kilometers from the city of Fortaleza, is today one of the most modern ports in the world, with unique features for this type of enterprise. It has an Export Processing Zone (ZPE), unique in Brazil, and an industrial area with the presence of giants in the civil construction, metallurgy, logistics, fertilizer, animal nutrition, and energy generation sectors, including renewable energy, among others.

Its main aim is to become the primary industrial complex, port and logistics hub in Brazil by 2050. In 2021, 410,557 TEUs (unit referring to a 20-foot container) were handled at the Ceará port terminal. A growth of 8.7% compared to handling in 2020, when 377,726 TEUs passed through the Port.

The CIPP is a joint venture, formed by the State of Ceará and the Port of Rotterdam, the largest port in Europe. From the outset, the complex was conceived and designed to be an industrial and port space and not just a port. It offers one of the few offshore terminals in Brazil, with a large area of 19,000 hectares.

Its industrial area concentrates some of Ceará’s main industries, from construction, metallurgy, logistics, fertilizer, animal feedstuffs and power generation sectors, including renewable energy, among other industrial sectors.

In the industrial area of the Complex, the labor force is fully qualified and there is ample infrastructure, with state and federal highway access, as well as a railroad connection.

Currently, the Complex brings together 30 companies, of which 22 are already in operation. Together, these companies have invested around R$ 28.5 billion (around US$ 5.7 billion), generating 50,800 direct and indirect jobs.

The Port

The Pecém port terminal is one of the most connected in Brazil, with seven cabotage lines and three long-haul lines. It is strategically located on the corner of the Atlantic, which reduces travel time for ships traveling to major ports in the United States, Europe and the Middle East.

Pecém is one of the deepest natural ports in Brazil, capable of receiving ships with a draft of up to 15.3 meters. In each of its berths it can receive up to ten ships simultaneously. They rely on STS (Ship to Shore) super cranes, operating in multimodal operations, 24 hours a day, seven days a week.

It consists of three maritime piers, the first (Pier 1) for solid and liquid bulk and non-containerized general cargo; the second (Pier 2) for liquid bulk and the third (TMUT) for solid bulk, containerized and non-containerized general cargo.

As it is an offshore terminal, the mooring piers are protected from the action of waves and currents by an “L” shaped berm breakwater, 2,770 m long. The piers are connected to the mainland by a road bridge that links the Storage Yard to the docking facilities for ships.

Its operational capacity has just been increased with the inauguration of a new berth, a new bridge to the piers and a new access gate, connected by a new highway to its EPZ (Export Processing Zone).

The EPZ
It is, since 2013, a free trade area with foreign countries, located about six kilometers from the Port of Pecém, an alternative for industries seeking to produce goods competitively in the international market. The EPZ offers administrative, tax and exchange incentives for exporting industries.

Its growth has allowed for the construction of the so-called Sector 2 of the EPZ, a new area of 240 hectares, for the installation of new companies.

Industrial area

It houses some of the main factories in northeastern Brazil, such as Aço Cearense, Aeris Energy, Cimento Apodi, Companhia Siderúrgica do Pecém, ENEL, Eneva, Gerdau Silat, Grupo Polimix, Hydrostec, Jotadois, Matsuda, Ourofértil, Daniel Transportes, Grupo Cordeiro, Termaco, TB Transportes, amongst others.

Green Hydrogen Hub
The Complex will house the largest green hydrogen production and export hub in Brazil.

How to do business in the Pecém Complex
Step 1: Expression of investor interest
Step 2: Memorandum of Understanding
Step 3: Pre-contract for project implementation
Step 4: Onerous Use Concession Agreement

Step 1 – Investor’s expression of interest
Expression of interest can be made directly with the Industrial and EPZ Business Management, by e-mail: industrial@complexodopecem.com.br or by telephone: +55 85 3372-1590.

For this preliminary analysis, the interested parties must fill out the Investment Project Checklist, different for investment in the EPZ or industrial area. LINK ELO GROUP???

For the total security of the investor, Pecém Complex guarantees the confidentiality of shared information and, if necessary, a Confidentiality Agreement may be signed between the parties.

Step 2 – Memorandum of Understanding
At this stage, the investor and the Pecém Complex will sign a Memorandum of Understanding to carry out preliminary feasibility studies for the project. In this initial agreement, there will be no area reservation or financial considerations.

Step 3 – Pre-contract for project implementation
In the study phase, the areas of the Complex suitable for the implementation of the enterprise will be presented to the investor and the previous model of prices for the use of the area and the initial questions for the execution of the project and the licensing process will also be negotiated.

In order to reserve the area and define the delivery schedule (final executive project, final feasibility studies, licensing, works and operations), the Pecém Complex and the investor will enter into a Pre-Contract for the Implementation of the Project.

Step 4 – Onerous Assignment Use Agreement
Finally, the execution of the agreement between the investor and Pecém Complex will be formalized by means of a Contract for the Onerous Assignment of Use for the area chosen for the undertaking.

“We spoke a lot today with our investor”, says Rebeca Oliveira, Director of Institutional Relations at the Pecém Complex. “We have a policy of holding hands with those who want to invest in Ceará. We are a facilitator. As the Pecém port complex, being 30% owned by the Port of Rotterdam and 70% by the State Government, is a Government plan. We have access to the Department of Finance, the Department of Economic Development, we monitor the Department of Environment and City Halls. Today, the Pecém complex is half in Caucaia, half in São Gonçalo. So, we are maintaining this relationship with the city halls of the two municipalities, and we are this facilitator”, says Rebeca Oliveira.

Multimedia
Radio: Renato Martins, director of ABB Brazil

Live: Rebeca Oliveira, director of Institutional Relations at the Port of Pecém, and Cibele Gaspar, master in Administration and Strategic Management and director of Nexxi Assessoria Financeira

Podcast: Rebeca Oliveira, Institutional Relations Director of the Industrial and Port Complex of Pecém