Continuing Our Responsible Approach and Commitment in Santarém
Cargill’s approach in Santarém is consistent with our commitment to responsible economic development around the world. We believe this responsible approach to investment creates economic opportunities that make positive differences to improving local communities, as well as providing a platform for strong environmental protection.
Growing global demand for soy from Brazil had created serious congestion and delays at Brazil’s southern ports and we wanted to develop a northern outlet for soy acquired from producers in the State of Mato Grosso, a savanna region outside the Amazon Biome in Mid-West Brazil. We selected Santarém because we could build our new facility within an established port and following a public tender process, we were granted permission to build a grain export terminal, which became operational in 2003.
Since we received permission to construct the terminal by the State government of Pará in early 2000, Cargill has complied with all the legal and environmental requirements of state permitting authorities. This includes the completion of an environmental impact study (called a PCA) required by the State and typical for construction projects at 90% of port terminals throughout Brazil.
State and federal regulations have different requirements and for the past several years Cargill has been caught in a jurisdictional dispute over which regulations had precedence and whether another environmental impact study – an EIA RIMA – should be conducted.
In April 2007 the Regional Federal Court of the First Region in Brasilia issued its decision to uphold the trial Court ruling, which ordered Cargill to commission an EIA RIMA. The ruling reiterated that the terminal operations should continue to remain open while the study is underway and we are working with the authorities to resolve this longstanding dispute as quickly as possible.
Cargill’s investment and presence in Santarém is helping generate new economic activity in an area, which has long experienced widespread poverty, high unemployment and a lack of sustainable economic and social development. We are helping local farmers by providing seeds and other essential crop inputs, as well as helping them access new markets for their produce. This is allowing them to grow soy, in addition to rice, on pasturelands around Santarém – lands that have been farmed for decades.
Our partnership with The Nature Conservancy is also helping local farmers comply with the Brazilian Forest Code and learn environmental best practices to help preserve and protect areas of land.
As part of our investment in the future of the local community in Santarém, we have also renovated a public library and fully equipped it with books and its first computers. We have trained library employees on how to use the software, use best practices and help visitors learn how to use the computers.
Local leaders in Santarém have publicly recognized the important contribution Cargill is making to their community and a signed a statement of their support was published in the local media in April 2006. The statement is available in both Portuguese and English.