Itapúa Multimodal Logistics Project

pipeline

The proposed project in Itapua—a vital economic region known for its high productivity and strong focus on agricultural exports—aims to address key bottlenecks in the region’s logistics chain, particularly in the road network and the Parana River waterway. By enhancing the performance of transport and logistics infrastructure, the operation will strengthen the competitiveness of agricultural supply chains and unlock opportunities for economic growth and job creation. The project will have four components:1. Road Improvement, Rehabilitation and Maintenance (estimated total cost: US$ 276.1 million): The project will improve the condition and climate resilience of approximately 308.2 kilometers of departmental and rural roads—including main corridors, feeder roads, and port access routes—through performance-based contracts that focus on pavement quality, drainage systems, and road safety features. The project does not include the construction of new roads. 2. Multimodal Logistics (estimated total cost: US$ 25.6 million): To alleviate constraints in waterway and port infrastructure, the project will enhance the navigability and resilience of the Parana River by installing beaconing systems, waiting areas, mooring buoys, and conducting maintenance dredging. It may also support upgrades to port and logistics center facilities. 3. Institutional Strengthening for Environmental and Social Interventions, Road Safety, and Road Asset Management (estimated total cost: US$ 13.2 million): The project will strengthen institutional capacity in road asset management and operations, and implement social and environmental initiatives, including support for small producers, rural innovation centers, environmental services, and programs that promote economic inclusion for Indigenous communities and women’s employment in the transport sector. 4. Project Management (estimated total cost: US$ 4.8 million).Overall, the operation seeks to deliver climate-resilient infrastructure, a more efficient multimodal transport network, improved road safety, and greater social inclusion—helping reduce gender and connectivity gaps for Indigenous and low-income populations. These efforts will support export competitiveness and foster sustainable economic growth in Itapua.