Camargo Correa plans to raise capacity by 2016

Camargo Correa plans to invest up to BRL3bn (US$1.51bn) in the Brazilian cement sector in the next few years.

With the acquisition and control of Portuguese cement maker Cimpor last year, Camargo Corrêa, through its cement arm InterCement, became the second largest producer of cement in Brazil, with market share being propelled from 10 to 18 per cent.

With market growth in Brazi expected to be between 5-6 per cent per year in the medium-term, the company intends to invest BRL2.5bn-3bn by 2016, local paper Valor Econômico. Planned projects include four cement plants and the expanding the company's existing plant in Cezarina, located in the mid-western state of Goiás.

Camargo is also benefitting from Cimpor’s capacity expansion plans currently underway including 3.3Mta of new capacity, due online by 2014, increasing Camargo’s capacity from around 15Mta to nearer 19Mta.