By Aurora Lane | 2024-12-18

LA PAZ -- A proposal to build a railroad connecting the Atlantic and Pacific oceans through Bolivia, Brazil and Peru gained renewed attention at the end of November following Chinese President Xi Jinping's visit to Brazil.

However, concerns have also quickly reemerged, with environmentalists and others warning that the "Bi-Oceanic" project could have significant negative environmental impacts.

During the G20 Summit in Rio de Janeiro, Bolivian President Luis Arce conferred with Xi on November 19 on financing and trade between the two nations.

In their conversation, the possibility of constructing a transcontinental railroad once again surfaced, one that would enhance logistics for exporting raw materials and food to China by linking the Atlantic and Pacific oceans.

Arce highlighted on his social media accounts that Xi "expressed interest in exploring the construction of ... a railroad linking the Pacific Ocean with the Atlantic."

The Atlantic-to-Pacific railroad project dates back to at least 2013 when then-Bolivian president Evo Morales initiated discussions of potential train routes connecting Bolivia, Brazil and Peru.

In 2023, under Arce, negotiations on the project resumed.

Environmental worries

A key goal is to streamline Brazilian trade, with China as its main buyer, by enabling goods to reach Shanghai more quickly -- within 50 days -- by crossing the Pacific.

Currently, Brazilian exports face longer routes, either via the Panama Canal or by overland passage across South America.

The initiative has faced criticism due to concerns about the environmental impact of the proposed railroad, which would pass through protected areas with vulnerable ecosystems.

One of the primary concerns is that the project could encourage extractive activities across South America, such as livestock raising, other agribusiness and mining.

These industries are known to contribute to deforestation, as well as to the contamination of water and soil.

"I am deeply concerned about the lack of environmental safeguards in Chinese financing," Bolivian Senator Cecilia Requena told Entorno.

"Multilateral financing institutions, such as the IDB [Inter-American Development Bank] and the World Bank, have much clearer safeguards, but I don't see anything similar from China, and that worries me a lot."

As a legislator from Comunidad Ciudadana with a strong focus on environmental issues, Requena emphasized that while the project could potentially benefit Bolivia through enhanced trade connections, it is crucial to thoroughly assess both its economic and environmental impacts.

"A train has lower freight and environmental costs than a highway does, which could make [the railroad] appealing, but we need an open public debate," she noted.

The government and foreign entities should not make such monumental decisions without society's involvement, she added.

"We must highlight both the positive and negative aspects to minimize any adverse impact," Requena said.

It is essential to prevent environmental disasters or harm to Indigenous communities, she said.

Lastly, she urged both society and authorities to conduct a thorough, "good faith, but very critical" analysis, weighing the real costs and benefits of the project.

Noncompliance and violations

Alfredo Zaconeta, a researcher at Bolivia's Center for Studies for Labor and Agrarian Development (CEDLA), warned of the potential negative consequences of development projects driven by bilateral agreements, particularly those involving Chinese capital.

He recalled past experiences, such as the conflict over the proposed Cochabamba–Beni Highway in Bolivia, which opponents said would violate Indigenous rights and would benefit Brazilian lenders and road builders more than Bolivians.

That road was never built. It remains in the planning stages, as Bolivian critics, including environmentalists and Indigenous activists, decried its previously suggested route through a national park.

"We must learn from these past experiences. Public consultation and respect for Indigenous rights are crucial issues that should not be taken lightly," Zaconeta told Entorno.

Zaconeta criticized projects financed by Chinese capital that have been completed, citing instances of noncompliance and violations of labor rights.

Other projects were misguided and might have owed their inception more to corrupt dealings than to rational economic policy.

Zaconeta cited a sugar mill in Huanuni, which Bolivia in 2012 hired a Chinese company to build.

The firm finished construction in October 2015, but the mill has never operated a full capacity. Bolivian politicians had approved the mill's location in an area that lacked suitable infrastructure as well as sugarcane farmers.

The Chinese have used cultural and linguistic differences as an excuse to avoid responsibility, fostering distrust and concern among local communities regarding the Bolivian government's relationship with China, said Zaconeta.