Lafarge to invest BRL1bn in Brazil over next five years

Lafarge is to invest BRL1bn (US$500m) in Brazil in the five years to 2018, according to the group’s chairman and chief executive Bruno Lafont.

During a meeting with Brazil’s president Dilma Rousseff in Braslia, Mr Lafont said the  organic investment is being made to keep with growth of the local market.  “Brazil has true potential for growth. The investment needs in infrastructure and in the housing sector show that the country has much margin for growth,” he noted.

Among the new investments, Lafarge said it will build a new research laboratory "to field test innovative solutions in the area of construction." The location of the centre is still undecided, although Mr Lafont said that it would be in operation by the second half of this year. The Brazilian research centre will be the group's fifth outside of France.

Lafarge has been active in the Brazilian market for five years where it operates five cement plants and three grinding units with a total capacity of 7.1Mta and an estimated market share of 11-12 per cent.