07:23 GMT +317 July 2019
Listen Live
    Russia's Gazprombank became one of those companies which plan to invest in the construction of a port in the Argentine city of Ramallo

    It's a Deal: Russia Beefing Up Investment Ties With Argentina

    © AP Photo / Elizabeth Dalziel, File
    World
    Get short URL
    1110

    Russia's Gazprombank is among a group of companies which plan to invest in the construction of a port in the Argentine city of Ramallo, Russia's trade representative in Argentina Sergey Derkach told Sputnik Mundo.

    A port is being constructed in the Argentine city of Ramallo near the Parana River, the country's main waterway. In early July, the terms of the project will be announced.

    Russia's Gazprombank is among the companies investing in this project, Russia's trade representative in Argentina Sergey Derkach told Sputnik Mundo.  

    "The port of Ramallo will turn into a logistics center, which will both export Argentinean agricultural products and import fertilizers and hydrocarbons from Russia. Gazprombank customers are highly interested in building this port to reduce logistics costs and increase the competitiveness of their products," Derkach said.

    The project is yet to be approved by Ramallo's authorities, who are also due to give the green light to hefty investments in the port's construction.

    At the initial stage, there are plans to invest 85 million dollars and create 500 jobs within the framework of the project, Derkach said, adding that at the second stage, investors plan to pump 85 million dollars more in the project and substantially increase the number of jobs.

    Grain and vegetable oil are expected to become the main goods which will be shipped via the Ramallo port, with the Parana River due to be the main waterway. The port's transshipment capacity will stand at 120,000 metric tons, according to him.

    He added that the necessary infrastructure will be built for shipments of grain, liquid products as well as the storage of phosphorus fertilizers. In addition to Gazprombank, the project is also being financed by the Argentinean group PTP, which has operational experience as a port operator.

    Derkach spoke on the sidelines of a meeting of entrepreneurs in the Argentinean town of Necochea, where lamps made by the Russian company INCOTEX, one of the largest manufacturers of electronic equipment in Russia, were on display.

    "You can produce more, and you can save energy. The lighting devices made by INCOTEX with the help of the latest technology can save from 30 percent to 40 percent of electricity. Five million LED lamps are equivalent to a 1,000 megawatt thermal power plant," Derkach said.

    INCOTEX is represented in Argentina by the Avangard Energy company. During the Nicochea gathering, Avangard Energy spokesman Daniel Kaliszuk specifically focused on President Vladimir Putin's program to promote Russian high-tech companies abroad, including those that are little known in Latin America.

    As for the INCOTEX-made lamps, savings are achieved both at the consumer level and via the production of these lamps, Kalishchuk stressed.

    Derkach, for his part, said that other Russian investment projects in Argentina include the development of the San Jorge mine in the province of Mendoza, which is run by Russian companies Aterra and Solway. The planned investments in the project are expected to exceed 500 million dollars.

    "At the moment, we are awaiting local authorities' environmental conclusion pertaining to this mine located on the border of the provinces of Mendoza and San Juan. If developed, this mine could help Argentina stop buying copper abroad," Dergach added.

    Related:

    Cuba Remains Russia's Most Trustworthy Partner in Latin America
    Russian Direct Investment Fund Multiplies Investments in Hyperloop Project
    Tags:
    investments, project, port, construction, Gazprombank, Russia, Argentina
    Community standardsDiscussion
    Comment via FacebookComment via Sputnik