Colombian cement market expands 4% in 2022

Grey cement dispatches in Colombia slipped 1.1 per cent YoY to 1.122Mt in December 2022 from 1.135Mt in December 2021, according to the country’s statistics agency, DANE. Bagged cement sales in December 2021 were down by 2.9 per cent YoY but this was offset by a 2.9 per cent increase in bulk sales.

The 12.5 per cent YoY increase to ready-mix cement companies was unable to offset the decline in other market segments in December 2022. Sales to construction companies and contractors dropped by 11.1 per cent YoY and retail saw a 2.7 per cent reduction in sales. Other segments contracted by 9.4 per cent.

Grey cement output from the company’s cement plants edged up by 1.2 per cent to 1.283Mt in December 2022 from 1.268Mt in December 2021.

January-December 2022
In the full year 2022, the Colombian cement market expanded by 3.6 per cent YoY to 13.505Mt from 13.041Mt in the year-ago period. Bulk sales increased by 10.1 per cent YoY with bagged sales edging up by 0.7 per cent YoY in 2022.

The rise in bulk sales reflects the greater offtake by ready-mix companies, who increased their purchases by 17.9 per cent. Sales to construction companies and contractors slipped by 4.3 per cent YoY. Retail sector sales were up by 0.5 per cent YoY in 2022. Sales to other market segments advanced by 5.6 per cent YoY.

In terms of Colombia’s regions, Valle del Cauca was the fastest-growing market, expanding by 17.1 per cent YoY in 2022, followed by Tolima (+12.2 per cent), Huila (+7.4 per cent), Cesar (6.8 per cent) and Cundinamarca (+6.6 per cent).  The Bogotá market saw sales increase by 4.6 per cent, as did Bolívar, while in Atlántico and Boyacá sales were up by 3.8 per cent. Sales in Quindío rose by 3.6 per cent  In Antioquia and Nariño, the market grew by 1.6 and 1.1 per cent, respectively. However, the Sucre market reported a 15.3 per cent contraction, followed by Norte de Santander (-7.8 per cent), Casanare (-7.5 per cent), Magdalena (-7 per cent), Meta (-5.4 per cent), Caldas (-4.5 per cent) and Santander (-0.6 per cent).

Domestic cement production increased by 5.9 per cent to 14.613Mt in 2022 when compared with 2021 when output reached 13.797Mt.