While 2021 was a positive year for Peru’s cement industry as in increase in demand.

"Before the pandemic, there was a notable growth in the construction category (cement, building materials and paints). However, with the arrival of the health crisis, drops of up to 50 per cent were recorded as early as April [2020]. The momentum returned months later, in September, due to the development of the sector and the improvement of homes," said Guadalupe Rosazza, business consultant for the construction sector at Total Market Solutions (TMS).

As a result, Unacem closed 2021 with a YoY increase of 35.5 per cent and Cementos Pacasmayo saw its business result up YoY by 40 per cent.

"The reasons behind this upturn are varied: the bonuses delivered by the Government, the withdrawals of funds for AFP affiliates, the disposition of the CTS, among others. With this extra money, people started to look for future profitability by increasing upwards buildings for rent. The impulse came mainly from self-construction," said Ms Rosazza.

However, TMS forecasts a more modest growth in 2022. "During the first quarter we observed a relevant increase, but not with the intensity of the previous year. In addition, the impulse comes mainly from the provinces and not so much from the capital," Ms Rosazza said.