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Food and beverages industry in Bogota

Food and beverage sector in Colombia has grown significantly over the last decade. Between 2005 and 2015, food and beverage sales have strongly increased, reaching a growth of 54%.

 

Find the next information about the sector:

 

Why locate in Bogota?

  • Bogota-region is the main food and beverage market and production center in Colombia: Bogota accounts for 44% of total industry sales in the country, and is home to 42 of 100 leading companies of the sector.
  • Market with high growth potential: Between 2015 and 2019, Colombians’ consumption of processed food and beverage is expected to grow by 36%.
  • Colombia provides a strategic location in the Americas: Manufacturing companies located in Bogota have preferential access to the main markets within the continent.
  • Bogota is renowned for the quality and readiness of its workers: The city boasts a large and qualified labor force with specific experience in the food and beverage industry, and at highly competitive costs.
  • Colombian Government offers investment incentives and support for the industry: The country is implementing strategies to modernize the industry and attract new foreign investment for the sector.

 

Colombian food and beverages market has a large upside potential​

 

  • Per capita food and beverage consumption in Colombia is low compared to other countries with a similar level of development in the region. While per capita consumption of processed food in 2015 was USD 587 in Latin America, in Colombia it was USD 415.6.
  • It is estimated that the food and beverage sector will have annual sales of more than USD 29 billion in 2021.

 

Bogota is the largest market and production center for food and beverages industry in the country

  • Bogota is the largest consumption center of the country, its GDP per capita is 85% higher than national GDP per capita.
  • In 2015, food and beverage industry in Bogota registered sales of USD 8.8 billion.
  • Bogota represents approximately 58% of Colombian imports, and 43% of Colombian food and beverage total imports.

 

Investment opportunities

Considering consumption tendencies and growth dynamics, the following are the main segments of Colombia’s processed food and beverage industry:

  • Processed food: Sweet and savory snacks, chilled processed food, dairy, canned/preserved food and ice cream.
  • Beverage: Beer, juice, carbonates, RTD tea and bottled water.

 

Bogota’s labor force readiness and quality

  • With a workforce of more than 4.6 million people, and more than 117 higher education institutions, Bogota can guarantee the availability and quality of its human resources.
  • Each year, around 127 thousand students graduate in the city (professionals, technical and technicians).

 

Government and private associations support

  • The National Industrial Association of Colombia (ANDI) brings together major industrial players for trade development and promotion.
  • The Productive Transformation Program –PTP- seeks to accelerate the competitiveness and productivity of the processed food and beverage industry.

 

Main companies located in Bogota

PepsiCo (USA), is the second largest food and beverages multinational in the world, in 2011 the company inaugurated its third plant in Bogota region (Funza), being its fourth factory in Colombia.

Coca-Cola FEMSA (Mexico), the largest franchised company bottling Coca-Cola products in the world, inaugurated in 2015 a new bottling plant located in Tocancipa (Cundinamarca), with a global investment valued at aboutUS$200 million.

Bimbo (Mexico), with 20 years of presence in Colombia, this company is ranked on the bakery market as one of the main players in the country. Bimbo has 4 production plants, one of these factories is located in Tenjo (Cundinamarca).

Parmalat (Italia), joined the colombian market in 1995, supply the country’s center zone with its plant located in Chia (Cundinamarca). The company currently has 5 production plants in Colombia.

Aje Group (Peru), Peruvian beverages company, joined Colombia in 2007; its main plant is located in Funza (Cundinamarca).

 

If you require greater detail, please contact any of the Investment Officers in charge.

 

 

Actualizado (mm/dd/aaaa): 09.28.2017