Brazil reaffirms support for Mozambique’s development

12 November 2009

Maputo, Mozambique, 12 Nov – The government of Brazil restated on Wednesday its support to development of Mozambique’s infrastructures, in particular the modernization of Nacala airport and the building of a coal terminal in the Port of Beira, the Noticias newspaper reported.

Brazil’s pledge was made public in Maputo after talks between Brasilia and Maputo officials during the visit to Mozambique of a Brazilian business mission led by Minister of Development, Industry and Foreign Trade Miguel Jorge.

Jorge told reporters after the talks that Brazil awaits an official request from Mozambique for funding for the upgrading of Nacala airport and building of the Beira coal terminal, already approved by the Brasilia government, whose repayment period will be extended from 12 to 15 years.

“It’s not a quick process. The Mozambican government has already identified sectors that are important like footwear, garments and textiles and we are working to get Brazilian entrepreneurs interested in setting up in Mozambique,” added the minister.

Mozambican Minister for Industry and Trade Antonio Fernando, in turn, said in addition to these areas a proposal has been presented to the Brazilian government for a project to build a power transmission line in the south of Mozambique.

The Brazilian delegation comprises over 90 company chiefs from the sectors of transport, farming equipment, food processing and renewable energies.

From January to October of this year trade between Brazil and Mozambique was valued at US$ 102.5 million compared to the US$ 28.4 million registered in the same period of 2008.

Brazil’s biggest investment in Mozambique is mining giant Vale’s US$ 1.6 billion coal mining project at Moatize, which will produce 11 million tons of coal yearly. Funding of the Nacala airport modernization and Beira coal terminal are connected to this huge mining venture. (macauhub)