Paraná River Dredging and a New Port in Timbúes: How Do They Impact Logistical Risk?

The Paraná-Paraguay Waterway transports over 80% of Argentina's agro-industrial exports. It represents a crucial artery for the nation's competitiveness and its integration with Brazil, Paraguay, Bolivia, and Uruguay.

In this context, the National Government recently approved the inclusion of a new project under the Large Investment Incentive Regime (RIGI) for the construction of a port in Timbúes, Santa Fe, situated on the banks of the Paraná River. The projected investment totals USD 2.480 billion and is expected to solidify the region's position as a strategic logistical hub for Argentine foreign trade.

Simultaneously, the Government confirmed the dredging of the Paraná Guazú and Paraná Bravo branches, two navigation channels that will be incorporated into the waterway's route, enabling the transit of deep-draft vessels at 34 feet (10.3 meters).

These changes present new opportunities for the logistics sector, yet they also reconfigure existing risk profiles. Key factors include:

• Increased Fluvial Traffic: A higher volume of exports translates to more operations, extended fluvial segments, and increased exposure to incidents.
• Infrastructure in Transition: Ongoing construction projects may introduce operational, structural, and environmental risks.
• Diversification of Routes: The introduction of new navigable routes necessitates updating existing coverage plans and risk assessments.
• Climatic Risks: Alterations in the river's morphology may impact navigation during periods of high or low water levels.

At Hanseatica, we support our clients with specialized solutions for the logistics and foreign trade sector. In light of this evolving risk landscape, and to complement the ongoing infrastructure projects, we highlight the following:

Coverage for foreign trade and logistics operations

• Cargo Insurance: Door-to-door coverage, including river transits, multimodal operations, and stock throughput. 
• Container Insurance: Protection against damages due to overturning, collision, theft, climatic events, and loading/unloading failures. 
• Civil Liability Insurance for Logistics Operators: Indemnification for third-party claims arising from damages during cargo transport and handling. 
• Customs Surety Bond: To guarantee regulatory compliance for imports/exports and operations involving state entities. 

Coverage for port and river infrastructure projects

As public and private investments in infrastructure advance, specialized coverage is also required to mitigate risks associated with civil works, equipment, and third-party liability. 

• All-Risk Operational Insurance: To protect equipment, facilities, and ongoing projects against unforeseen damages during infrastructure development. 
• Civil Liability Insurance: Coverage against third-party claims for damages or losses incurred during works or activities related to port and logistics development. 
• Engineering Insurance: Protection for machinery, electronic equipment, and contractors within civil works and assembly contexts. 
• Surety Bond: A guarantee for tenders, contract fulfillment, and obligations to public or private entities within the scope of infrastructure projects. 

In an evolving landscape, businesses must review their coverage and anticipate new risks. Some recommendations include: 

• Verify that policies include the new river sections and loading points. 
• Include clauses for operational or environmental risks during construction projects. 
• Incorporate specialized legal and technical advice for river operations. 

River logistics in Argentina are evolving. New ports, dredging, and routes present new opportunities, but also challenges. 

Partnering with a specialized insurance provider like Hanseatica enables businesses to operate with confidence, minimize unforeseen events, and protect their key assets throughout every stage of the journey. Contact us!