ARGENTINA is moving forward with plans to privatise its national rail freight operations through the unbundling of state-owned Belgrano Freight & Logistics.

The process will divide the company’s assets into three distinct business units:

•             rolling stock, to be sold via public auction

•             track infrastructure and commercial property, to be let as concessions to private operators while remaining state-owned, and

•             rail workshops, also to be let as concessions.

According to the official timeline, tenders are expected to be launched by the end of this year, with contracts for the San Martín and Belgrano concessions scheduled to be awarded by March 2026.

Latin American news outlet Infobae reported on November 4 that Mexico Group Transport (GMXT), the rail division of Mexico Group, has expressed an interest in participating in the privatisation process.

GMXT is understood to have held talks with Argentine officials and is reportedly preparing an investment proposal worth more than $US 3bn. GMXT transports more than 100 million tonnes of freight each year in Mexico.

Commodity and mining companies

The privatisation process has also attracted attention from international commodity companies with major operations in Argentina and a heavy reliance on the national rail freight network.

Local media report that Bunge, Louis Dreyfus Company, Cargill, ACA, and Aceitera General Deheza (AGD) are jointly preparing a bid for the Belgrano concession, aiming to secure and improve logistics performance and port connectivity for the country’s agricultural exports.

Argentina’s mining sector is likewise considering participating as a means of securing and expanding rail services to key regions such as Vaca Muerta and the northwest mining corridor, which are expected to generate growing volumes of lithium, copper, and other minerals.

Speaking at industry conferences in San Juan and Catamarca earlier this year, Belgrano president Alejandro Núñez encouraged mining companies to engage in the process, noting that their long-term freight commitments could play a crucial role in ensuring the viability of new private concessions.

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