Cement sales in Brazil grew 5.7% in the first five months of the year to 21.6 Mt, according to preliminary figures from the country’s cement association SNIC.
The increase is contributed to high levels of activity in the real estate sector, offsetting the weak performance of infrastructure projects due to low public investment.
In May, cement sales were up 27.7% year-on-year to 4.6 Mt. The sharp rise was attributed to the low base of comparison since in May 2018 a 10-days nationwide truckers’ strike damaged economic activity and seriously affected various segments, including cement sales.
“The number of new real estate launches is on the rise and [this] is serving as a foundation for the growth of the cement industry,” explained SNIC President Paulo Camillo. “On the other hand, we still don’t see any movement in the infrastructure sector capable of leveraging cement consumption.”
Camillo concluded, “Our expectation is that with the approval of the pension reform, the economy will be more positive, enabling a new cycle of growth.”