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Ceitec, EGR Sign Toll Agreement

The document establishes commercial clauses and forecasts the demand for the acquisition of RFID chips.
By Edson Perin
Dec 11, 2017

Ceitec, a public company linked to Brazil's Ministry of Science, Technology, Innovation and Communications (MCTIC) that operates in the semiconductor segment, has signed a contract with EGR, a public company that manages the toll roads belonging to the state of Rio Grande do Sul. Under the terms of the agreement, the companies will supply a solution containing vehicle identification chips (model CTC13010).

The agreement establishes commercial clauses and forecast the demand for the acquisition of chips: 110,000 units within a span of 12 months. Ceitec's product will be used for automatic control of exempted vehicles within the 14 toll plazas controlled by EGR in Rio Grande do Sul. The contract is valid for one year and may be extended. Paulo de Tarso Mendes Luna, Ceitec's president, and other members of the board, including EGR's CEO, Nelson Lidio Nunes, and the company's administrative and financial director, Ney Michelucci, were present at the signing ceremony in Porto Alegre, Rodrigues.

The legal representatives of Ceitec and EGR, signing the agreement
The Ceitec device can be used for the automatic payment of tolls, applied by means of passive tags glued to the windshields of cars. This enables the vehicles to be recognized at automatic toll gates and parking lots.

Since August 2017, Ceitec has predicted that many Brazilian automobiles would already be using Ceitec chips in their toll tags. "The sale of the first Ceitec chips for automatic toll systems in São Paulo, and on federal highways granted by ANTT," Luna says, "represented a milestone in introducing a product with 100 percent national development and technology in a market formerly dominated by imported technology."

Approximately 300,000 chips were part of the contract signed by Ceitec. The first vehicle identification label maker was Norwegian multinational firm Q-Free, one of the world's largest companies in traffic monitoring and control. The chips were delivered, and monthly deliveries have been made since August, to reach the initial contracted volume of one million semiconductors.

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