Milei's government has begun the privatization process of the company Intercargo.

The Government of Javier Milei issued a decree this Tuesday announcing the beginning of the privatization process of Intercargo, the state company responsible for providing ramp services and baggage handling at airports.

The company was at the center of controversy at the end of last year due to a violent strike that affected operations at Aeroparque and Ezeiza.

This conflict, which caused the cancellation of flights and left thousands of passengers as hostages, led to a strong confrontation with the Milei Government, which resulted in the deregulation of Intercargo's functions in November 2024.

At that time, the presidential spokesperson, Manuel Adorni, in his usual press conference, anticipated "the end of Intercargo as we know it."

"No union terrorist will be able to take a passenger hostage again and ruin their trip, their vacation, their business trip or for medical reasons, nor refuse to do their job," he stated in reference to the incident in which 2,000 passengers were trapped on a plane due to the strike.

Until early November, the company maintained control over ramp services and passenger transportation at the country's main airports. However, with the Executive's decision, the market was opened to private competition.

The decree details that "the company has entered into various contracts with the concessionaires of these airports for the use of spaces for the provision of ramp services, extending this contracting modality to the TWENTY-ONE (21) airports where this activity is currently carried out."

This exclusivity originated from Resolution 7417/90, through which the State granted Intercargo the direct and exclusive concession of the "Unique Ground Handling Service (RAMPA) at Ezeiza International Airport 'Ministro Pistarini' and at the Metropolitan Aeroparque 'Jorge Newbery'."

The total privatization of the company

With the publication of Decree 198/2025 in the Official Gazette, the start of the process for the total privatization of INTERCARGO S.A.U. was formalized. This way, the sale of 100% of the company's shares was approved, paving the way for a public tender of both national and international scope to transfer its ownership.

"This Administration has promoted the deregulation of the air transport sector by reducing operational requirements, allowing airlines and third parties to provide ramp services, and adopting international standards in airport operations in general," states Milei's decree.

In this context, the first article of the measure establishes that "the procedure for the total privatization of INTERCARGO S.A.U. under the modality of share sale, as established in subsection 2) of article 17 of Law No. 23,696 and its amendments."

The document assigns the Ministry of Economy the responsibility to carry out the privatization, with the participation of the Temporary Special Executive Unit "Public Companies Transformation Agency," which will be in charge of managing the necessary steps to complete the sale through an international tender.

Additionally, it is expected that the current concession contract between the State and the company will be terminated by mutual agreement before the transfer of shares is completed.

The objective of the process is to ensure the continuity of ramp services without affecting air connectivity. According to the third article of the decree, the portfolio led by Luis "Toto" Caputo "must take the necessary measures to ensure that the privatization modality doesn't affect the continuity of airport service provision or national and international connectivity."