Tenders for a contract to develop and run Peru's northern port of Paita are scheduled to be released in 2008, the local media reported.

According to Transport and Communications Minister Veronica Zavala, a six-month study to ascertain the port development's investment needs will begin in a month's time.

The study will be conducted by Peruvian-US consortium Cesel-Louis Berger.

Government officials expect the port of Paita, the second biggest in Peru, “to become Brazil's exit to Asia,” said Zavala.

Port expansion at Paita will complement the 955 kilometre highway project, which will run across six northern departments.

Paita's container terminal currently handles about 100,000 twenty-foot equivalent units (TEUs) per year and authorities are expecting the incoming operator to greatly increase capacity and throughput.

The port's concession has undergone several delays with the national port authority Autoridad Portuaria Nacional (APN) and state agency for private investment promotion ProInversion taking longer than expected to update Peru's national port development plan.

Peru's President Alan Garcia has criticized ProInversion for the delays, calling on officials to boost privatization efforts and launch more new state infrastructure concessional processes.