Mining-energy exports to the US exceed pre-pandemic levels

Exports from the Colombian mining-energy sector to the United States showed, for the first time, a positive result when comparing pre-pandemic records. According to official data from the Danesales of this item were recorded at US$ 4,505 million between January and July of this year, showing a growth of 8% compared to the same time of the previous year of 2019, which reached US$ 4,169.7 million.

(Colombian exports to July, the highest since 2012).

Comparing what has happened this year with the same scenarios of previous years, in the first seven months of 2021, exports reached figures in the order of US$2,460.8 million, that is, presented a growth of 83.1% and compared to the 2020 pandemic scenario, the result was US$ 2,114.5 million, therefore, an increase of 113.1%.

According to the analysis of the Colombo-American Chamber of Commerce, AmCham Colombia, based on Dane data, sales of non-mining energy products to the United States totaled US$4,490.7 million between January and July of this year, with a growth of 59% when compared to the pre-pandemic period that registered US$ 2,823.6 million. Likewise, a rebound of 51.9% compared to 2020 of US$ 2,956.3 million and an increase of 22.1% compared to the same time last year of US$ 3,664.2 million.

By macro-sectors, agriculture totaled US$2,750.6 million in the first seven months of the year, with a growth of 62% compared to January and July 2019, which was US$1,697.8 million; of 60% compared to the same time of 2020 registered at US$ 1,719.4 million and finally, an increase of 39.9% compared to the flows of 2021 that reached US$ 1,966.4 million.

When looking at products, the most favorable increases stand out in fruit, which went from US$98.1 million between January and July 2019 to US$171.6 million in the same period this year, a growth of 74.9%; coffee, tea and spices with a rise of 74.2%, going from US$595.3 million to US$1,036.9 million; food, beverages and tobacco went from US$ 199.9 million in the first seven months of 2019 to US$ 334.1 million, rising 67.1%; animals and their products grew 56.3% and went from US$46.9 million to US$73.3 million; fish rose 54.9%, reaching figures of US$ 53.0 million; vegetables went from US$ 855.5 million to US$ 1,306.1 million, an increase of 52.7%; flowers were recorded at US$ 1,124.4 million with a rise of 50.4%; and sugar and candies reached US$66.4 million, rising 36.6%.

(The US maintains the tariffs against China.)

“Agriculture continues to be the main non-mining-energy subsector that lands in the United States. Progress has been made in the diversification of the basket and this is demonstrated by the products, it is no longer just coffee, flowers and bananas, however important challenges persist in terms of the competitiveness of the national industry that must be addressed with public policies that facilitate its internationalization and employment generation. A higher tax burden on companies will limit that possibility.”highlighted María Claudia Lacouture, president of AmCham Colombia.

Within the non-mining energy sector, industrial goods continue to be a great bet for Colombia. Foundry, iron and steel products grew 978.7% between January and July 2019 and the same time scenario of 2022, going from exporting US$2.1 million to US$22.7 million; electrical machinery products of US$ 56.5 million, reached US$ 113.7 million, higher by 101.1%.

Also, metals and their manufactures registered sales for US$ 374.6 million and grew 92.8%; auto parts rose 68.1% reaching US$ 20 million; plastic materials (+58.2%); paper and its manufactures (+56.3%); clothing (+28.7%); chemical products (+21.4%); and the others (+23.4%).

(The country’s exports totaled US$34,561.2 million in July).

It should be noted that total exports from Colombia to the United States were registered at US$ 8,995.7 million, between January and July of this year, showing an increase of 28.6% compared to the 2019 level in which they were registered in US$ 6,993.3 million. Compared to the first seven months of 2021, the rebound was 46.9% when they were registered at US$ 6,125 million and an increase of 77.4% compared to the same scenario of 2020 of the order of US$ 5,070.8 million.

“Exports to the United States between January and July 2022 have grown by 46.9% compared to the same period in 2021, according to Dane, reaching sales of US$8,995.7 million, of which 50.1% corresponds to the energy mining sector. This figure reflects the importance of the hydrocarbon sector for public finances and the need not to abandon these resources, which are essential for the country’s social development, while we advance in the energy transition and the generation of clean energy, added to the strengthening of the export culture so that the non-mining energy sector takes advantage of the possibilities of the FTA more and more”, Lacouture pointed out.

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