Non-refractory mortars and concretes market in Latvia

Earlier Report Observations

Between 2018 and 2020, the market for non-refractory mortars and concretes in Latvia grew to 1 879 thousand tons in 2019 before declining sharply to 1 468 thousand tons in 2020. The drop was driven by COVID-19 pandemic restrictions, which reduced construction and real estate activity, and limited the availability of project financing, directly curbing demand for building materials.

After 2020, gradual improvements in funding access supported demand recovery. However, in 2022, significant changes in lending policy and rising interest rates affected construction project financing, while state efforts to reduce the shadow economy shaped the operating environment. By 2023, economic downturn and inflation lowered consumer spending, and the entry of international online sellers into the Baltic market increased competitive pressure on local suppliers. E-commerce growth further transformed sales channels in 2024, and inflation coupled with tax law changes impacted construction sector costs.

Demographic trends and household purchasing power continued to influence construction demand throughout the period. Simultaneously, labor market tightness and rising wages contributed to higher production costs, affecting the market's overall dynamics from 2021 onward.

Production non-refractory mortars and concretes in Latvia

In value, 2018-2021, K $ US

In 2019, Latvia's output of non-refractory mortars and concretes reached its peak at 79 319 K $ US. However, by 2020, production had fallen to 64 431 K $ US, marking an 18.8% decline compared to the previous year. Over the period from 2018 to 2020, production decreased by 15.4%, which translates to an annualized rate of 5.4%. The largest increase occurred in 2019, with a growth of 4.1%.

Annual dynamics of production in Latvia in value, 2018-2021, K $ US

In kind, 2018-2021, K t

In 2019, Latvia produced 1 863 K t of non-refractory mortars and concretes, the highest volume recorded. By 2020, production had dropped to 1 450 K t, representing a 22.2% decrease from 2019. From 2018 to 2020, overall production fell by 19.1%, equating to an annualized rate of 6.8%. The largest increase was observed in 2019, at 4.0%.

Annual dynamics of production in Latvia in kind, 2018-2021, K t

Exports non-refractory mortars and concretes from Latvia

Exports in kind, t

In 2020, Latvia's exports of non-refractory mortars and concretes hit their lowest point at 1 033 t, with a 29.0% decline that year. By 2021, exports rebounded to 1 685 t, showing a 63.1% increase from 2020. Over the period from 2018 to 2021, exports grew by 35.4%, with a compound annual growth rate (CAGR) of 10.6%.

Annual dynamics of product's exports from Latvia in kind, 2018-2021, t

From 2018 to 2021, the country structure of Latvia's exports in kind was heavily dominated by Lithuania and Estonia, which together accounted for 96.3% of total flows. Other markets contributed smaller shares, forming a long tail.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Latvia in kind, 2018-2021

Exports in value, K $ US

After a two-year decline, Latvia's exports of non-refractory mortars and concretes in value terms increased in 2021. In 2020, exports reached their minimum at 396 K $ US, with the largest decline of 33.5% occurring in 2019. By 2021, exports had risen to 451 K $ US, up 14.1% from 2020. From 2018 to 2021, overall exports decreased by 30.4%, equating to an annualized rate of 11.4%.

Annual dynamics of product's exports from Latvia in value, 2018-2021, K $ US

Between 2018 and 2021, Lithuania and Estonia dominated Latvia's exports in value terms, together accounting for 85.2% of total flows. Other destinations made smaller individual contributions.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Latvia in value, 2018-2021

Imports non-refractory mortars and concretes to Latvia

Imports in kind, t

In 2020, Latvia's imports of non-refractory mortars and concretes in kind peaked at 19 280 t, with an 11.8% increase that year. By 2021, imports had fallen to 15 578 t, marking a substantial 19.2% decline from 2020. Over the period from 2018 to 2021, imports decreased by 10.6%, equating to an annualized rate of 3.7%.

Annual dynamics of product's imports to Latvia in kind, 2018-2021, t

Throughout 2018 to 2021, Estonia and Lithuania were the primary suppliers of non-refractory mortars and concretes to Latvia in kind, with a combined share of 86.8% of total imports. Other countries accounted for the remainder.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Latvia in kind, 2018-2021

Imports in value, K $ US

In 2020, Latvia's imports of non-refractory mortars and concretes in value terms saw a slight decline of 1.2%. By 2021, imports had increased to 3 470 K $ US, up 5.0% year-over-year. From 2018 to 2021, overall imports grew by 8%, equating to an annualized rate of 2.6%.

Annual dynamics of product's imports to Latvia in value, 2018-2021, K $ US

In the period from 2018 to 2021, the leading sources for Latvia's imports of non-refractory mortars and concretes in value terms were Estonia, with 35.9% of imports, Lithuania, with 28.2%, and Norway, with 14.1%. Together, these three countries accounted for 78.2% of total import flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Latvia in value, 2018-2021