There are many reasons why Brazil’s economy is doing well at the moment, and why Britain’s is not.
The task, and the potential benefits, are enormous. So much so that Guernsey registered Baker Steel Resources Trust counts Ferrous Resources among its top holdings. Previously, the only route for iron ore from the mineral rich Minas Gerais state to reach port was via a 14 hour train journey. The pipeline is obviously far more efficient, and constant.
Ferrous Resources is targeting to pump 25m tonnes per annum from 2015. As long as commodities are in demand this is likely to create a lot of wealth and employment in Brazil – particularly in the Minas Gerais and Espirito Santo states.
Infrastructure is key to developing a country. When there is a problem, innovation finds solutions. Failing to invest, as the British government appears to be doing, is a stumbling block to success.