Technology and agroindustry, most competitive sectors to attract investments from Brazil into Bogota
Bogota boasts excellent business opportunities in the plastics industry. The capital has established a modern, competitive industry in the region with companies involved in all sub-segments of the value chain. With an industry comprising more than 200 companies covering all links of the productive chain, Bogota is home to nearly 55% of Colombia’s plastics sector sales.
The industry study prepared by the agency that promotes Bogota has discovered that Colombia’s capital, being the country’s main center of consumption, is not just the site where the Colombian plastics processing industry is concentrated but also the source of end markets, such as the drinks and food industry, pharmaceuticals, cosmetics, and construction materials. All of these other sectors drive the development of the plastics industry.
Juan Gabriel Pérez, Executive Director of Invest in Bogota, stated, “Consumption of plastics is growing rapidly, as is the scope of this material. In response to the needs of the most demanding and segmented markets, the broad possibilities of plastic for new applications and the development of important innovations are transforming daily consumption goods, specialized products, and those with high technological content. The plastics industry is one of the most dynamic in the world and a priority for investment promotion, since it is utilized in other industries of the economy.”
Sub-sectors Benefiting from Plastics
Colombia is experiencing a strong economic period that is driving the demand for both plastic raw materials and final products. The main industries requiring this material are containers and packaging (54%), construction (21%), agriculture (9%), and the institutional market (8%).
Between 2008 and 2013, the sector’s profits in Colombia grew at an annual rate of 5%. Currently, annual sales are over USD 3,500 million, and annual production stands at more than one million tons.
Pérez added, “The demand of plastic final product has grown, just as the industries that consume processed plastics. The latter have shown a strong growth in the last few years; drinks and food annually invoices more than USD 9,000 million in Bogota and represents 42% of the Colombian industry. As to the Colombian pharmaceutical industry, it invoiced USD 2,250 million in 2013. Bogota concentrates 71% of the companies in this sector in the country."
Companies Opting for the Bogota Region
In the construction segment, the following stand out:
For the packaging segment, we highlight the following:
Export Platform for Plastic Products
The Director of Invest in Bogota stated, “In 2013, Colombian plastic exports were at 154,000 tons, of which 47% originated in Bogota and Cundinamarca, with a market value over USD 300 million. That positions the city as an export platform. The products most exported from Bogota to the United States, Ecuador, and Venezuela are containers, furniture, and construction materials. Colombian products have a preferential tariff system to enter the markets of Argentina, Brazil, and Mexico, and they are exempt from tariffs in Peru, Ecuador, Bolivia, and Venezuela.”