90% of Brazil's Airports Now Under Private Management

90% of the airports in Brazil are no longer state-operated. On November 30, Brazil's airport regulator, ANAC, concluded the transfer of 15 of the country’s airports to privately owned firms.

Lorne

Philpot

December 2, 2023

DALLAS – 90% of the airports in Brazil are no longer state-operated. On November 30, Brazil's airport regulator, Agência Nacional de Aviação Civil (ANAC), concluded the transfer of 15 of the country’s airports to privately owned firms.

The concessions for the airports in question were auctioned off in 2022, with privately owned companies winning the bids to manage state-run airports in Brazil.
The 15 airports auctioned off last year were offered in three separate lots.

One of the lots was awarded to Spain’s airport management firm, AENA (Aeropuertos Espanoles y Navegacion Aerea). The other two were won by Brazil’s XP Infra IV fund, an investment fund administered by XP Investimentos, and a consortium led by Brazilian firm Socicam.

Entrance to Altamira Airport. Photo; Alexandro Dias, own work, CC BY-SA 4.0 via Wikimedia Commons
Entrance to Altamira Airport. Photo; Alexandro Dias, own work, CC BY-SA 4.0 via Wikimedia Commons

Privatized Airports

Now, private-sector firms operate and manage more than 90% of the airports in Brazil. This includes both local players and international companies. Local privately owned firms include CCR, Socicam, Invepar, and XP, while the international operators are Aena, Vinci Airports, which operates 70+ airports in 13 countries, Inframérica, Fraport, which operates Frankfurt Airport (FRA) and holds interests in the operation of several other airports around the world, and Flughafen Zürich.

Aena won the auction for the block that included Altamira Airport (ATM) in Pará State and Brazil’s second busiest airport, Congonhas, in São Paulo State. This effectively places the majority of the country’s passenger traffic and cargo volumes under private management.

"The Spanish concessionaire Aena began, in the early hours of today [Nov. 30], operating Altamira Airport in Pará state, which was managed by [state firm] Infraero. With the completion of this stage, airports managed by the private sector will account for 93% of Brazil’s passenger traffic and 99% of cargo," Anac said in a statement.

woman walking on pathway while strolling luggage
Photo by Oleksandr P on Pexels.com

Airports to Benefit from Investments

Brazilian airports that have been transitioned to private sector contracts are poised to receive significant investments. The different private operators will manage the airports for a duration of up to 30 years.

Furthermore, together, the private firms operating Brazil’s airports are set to invest around 7.3 billion reals (US$1.5 billion) over the 30-year contracts. This will lead to the expansion and improvement of infrastructure at these airports, according to the Brazilian airport regulator.

As of June 4, 2023, the National Civil Aviation Agency of Brazil listed 494 public and 2,890 private certified aerodromes, and 177 helidecks that were open to the public in the South American country. 494 is approximately 17.09% of 2,890.

Featured image: Aeroporto Internacional de Cumbica, Guarulhos, São Paulo, Brazil. Photo: Portal da Copa - Portal da Copa, CC BY 3.0 br