Mercadolibre and Gol announced a 10-year air cargo partnership

Mercadolibre Inc and Brazilian airline Gol Linhas Aereas Inteligentes SA on Tuesday announced a 10-year logistics partnership for cargo transportation in the South American country.

Under the deal, Mercadolibre will exclusively use six Gol-owned Boeing 737-800 BCF aircraft, with the option to add another six aircraft to the operations by 2025, the companies said.

Operations are scheduled to start in the second half of 2022.

With the deal, Gol said it expects its logistics unit GOLLOG to add 100 million reais ($21.43 million) in revenue in 2022 and 1 billion reais over a five-year period.

The airline also said it will save about 25 million reais in 2022 and 75 million reais in 2023 thanks to the partnership, as it updates its aircraft fleet. ($1 = 4.6654 reais)

Mercadolibre said it expects to increase its air cargo transportation in Brazil to 40 million packages per year from 10 million currently.

Reuters.com by Aluisio Alves; writing by Gabriel Araujo; editing by Jason Neely