20 December 2013
Brazilian construction company Odebrecht has won a contract as part of a consortium to build a $700m irrigation project in Peru.
The consortium will be responsible for the third construction phase of the Chavimochic agricultural project in the region of La Libertad, which will supply water to an additional 63,000 hectares (243 square miles) of arid land to improve farming, Reuters reports.
The project will also bring water to local towns and hydroelectric plants.
Odebrecht bid as part of a local consortium including Peru’s biggest construction company, Grana y Montero.
Increased farm exports, such as asparagus, will generate a hoped-for $1.2bn per year (Wikimedia Commons)
The Odebrecht consortium will finance $300m of the total investment, with the remaining costs covered by the central and regional governments.
Six companies in total had bid on Chavimochic, which Peru has described as the world’s biggest irrigation project to be developed through a public-private partnership.
Once complete, Chavimochic will generate about $1.2bn per year in exports of products such as asparagus, promoters say.