Producer prices in Colombia fell 0.87% in 2020 due to a drop in mining costs, the National Statistics Department (DANE) reported. The fall of 2020 contrasted with a rise of 6.09% in 2019. In 2020, mining prices accumulated a fall of 17.78%, while those of agriculture and livestock rose by 9.29%, and industry by 1.24%. The Producer Price Index (PPI) is an early benchmark for consumer prices, the main measure of local inflation to be released Tuesday night.
Colombian coal exports fell to a near 12-year low 2.02 million mt in November, down 40.6% from October and 59.1% lower than the year-ago month, according to data from government statistics agency DANE. The 2.02 million mt was the lowest monthly figure since 1.35 million mt in December 2008, according to the data published Jan. 1. The latest month was also down 64.5% from the five-year average for the corresponding month and was the second-lowest total in a month of October in the last 20 years, only higher than 1.08 million mt in November 2008.
Smurfit Kappa Colombia announced the start of construction of its new corrugated plant in Guarne (Antioquia) from the first quarter of 2021, which will have an investment of $50 million. This new production plant, according to the company's directives, includes a state-of-the-art corrugator and new printing and finishing machines for cardboard boxes. It will be the most modern plant of the Smurfit Kappa Group in Colombia, built under the LEED international green building certification system.
Infrastructure group John Laing said it had bought a 21.15% interest in Colombia’s Pacifico 2 road public-private partnership (PPP) from Construcciones El Condor for $43.4 million. The transaction is expected to complete during early 2021. Colombian construction firm Odinsa will hold the remaining 78.85%. Located 20 kilometres south of Medellin, the country's second largest city, Pacifico 2 has an operating concession that runs to 2043. It includes the construction of a new 82 kilometre dual carriageway and two tunnels, as well an upgrade of 54 kilometres of existing road.
New vehicle sales in Colombia fell 28.5% year-on-year in 2020 to 188,391 units, the lowest figure in the last 11 years, as a result of the reduction in domestic demand due to the COVID-19 pandemic. The Colombian vehicle and motorcycle sector, which has 12 production plants and more than 16,000 points of service, sales offices and mechanic shops, represents 6.6% of the industrial Gross Domestic Product (GDP) and generates some 25,000 direct jobs, with 100,000 workers linked to its service chain.