Business Plan: MG-050 Highway

Sao Paulo Travel Blog

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Proposal: MG-050 Highway Project �" Belo Horizonte/Sao Paulo

Eric Anderson, John Winn




Our plan as presented concerns the road widening project of the MG-050 highway linking Belo Horizonte with Sao Paulo already announced by the Brazilian government.  As the winning bidders on the design and financing competition following our proposal to the government, our company would be responsible for the project and backed by the government for the term of 25 years but would be responsible for covering the fees required.  The road is to be funded using a toll system which would be affordable to the citizens while funding the upkeep costs necessary to cover the contract terms for the required 25 years.  This would be a long-term investment for our company and your funds and would be a safe bet because of the guaranteed traffic flow in between two of Brazil’s major cities.  It is a major project for the advancement of the nation’s infrastructure and along with 5 other similar projects it is considered one of the most pressing due to the poor state of the nation’s current transportation system.


  • MG-050 highway widening project linking Belo Horizonte (Minas Gerais) with Sao Paulo via 370-km road
  • Cost of project over next 5 years totals $281 million
  • Project to be bid on by competing companies; winner responsible for maintaining/operating MG-050 for 25 years
  • Use of PPP (public-private partnerships) ensures that the Brazilian government would back our company
  • Cost of interest rates for investment is high, however this will not apply to our plan
  • Planned toll plazas would feature a “cruise card” system where users would have the ability to continue driving down the highway without stopping therefore reducing the “custo brasiliero”
  • Sales of advertisement space alongside road will also bring in large amounts of revenue
  • Road will use state-of-the-art drainage system composed of a non-woven fabric sheet between the asphalt and the roadbed currently used inexpensively and with great success in the United States; will reduce large amount of future maintenance costs and will save us money down the road
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photo by: joesu