Only One Bid, DEME, for Argentina River Dredge Contract

Belgian company DEME Group was the sole firm to bid in the Argentine government's tender for a major maintenance contract for the Parana waterway, a key route for grains transport, the government said on Wednesday.

The bid could mark a major shakeup in dredging the river, part of a route from inland areas of Paraguay, Bolivia and southern Brazil out to sea. Argentina ships out some 80% of its massive farm exports along the waterway.

Belgian rival Jan de Nul currently holds the concession to maintain the river and has for decades, but its attempt to hold onto the contract has come under pressure from DEME, who alleged that the bidding process was rigged in favor of Jan de Nul.

Argentine prosecutors on Tuesday had also reported evidence of "serious and evident irregularities" in the wording of the latest tender.

Jan de Nul and Argentina's economy ministry, which led the tender, did not immediately respond to a request for comment. DEME declined to comment.

(Reuters)