The Argentine government has taken a drastic step in the Hidrovía tender process after a surprising turn of events during the opening of the envelopes. Despite 11 companies showing interest in the bidding process, only Dredging Environmental and Marine Engineering (DEME) submitted a formal proposal to secure the concession. This led to the government’s decision to cancel the controversial process. Presidential spokesperson Manuel Adorni confirmed the decision and further escalated the situation by announcing an investigation into the sole company that participated, alleging “possible pressures” on its potential competitors.
In a press conference, Adorni confirmed the suspension of the tender process, emphasizing that the government had committed to holding a transparent bidding process to ensure the best service. “We stated that if there was only one bidder, the process would be canceled,” he said. Shortly after, the Ministry of Economy issued a statement outlining plans to launch an investigation by the National Competition Defense Commission, an independent body under the jurisdiction of Luis Caputo, Minister of Economy. The investigation aims to explore the possibility of “pressure from the only bidder on the remaining companies or collusion between them to the detriment of the National State.”
This decision marked a significant turn in the situation, especially as DEME itself had filed an injunction requesting the suspension of the tender, which was rejected by the Federal Administrative Court.
The new accusations intensified as the tender process stalled. The government has yet to define whether changes will be made to the bidding conditions or when it plans to initiate a new call for proposals. This has impacted businesses looking to secure the Hidrovía concession, as well as importers and exporters who rely on the “waterway highway” to transport goods. Furthermore, the suspension adds complexity to President Javier Milei’s privatization plans, which include shutting down the General Ports Administration, the state-run entity currently responsible for collecting tolls.
This unfolding scenario highlights a tense moment for Argentina’s transportation and trade sectors, as stakeholders await clarification on the future of the Hidrovía.
