MERCOSUR: Smart Card Market 2024

Smart Card Market Size in MERCOSUR

The MERCOSUR smart card market stood at $X in 2022, increasing by 3.6% against the previous year. Over the period under review, consumption, however, continues to indicate a prominent increase. The level of consumption peaked in 2022 and is expected to retain growth in years to come.

Smart Card Production in MERCOSUR

In value terms, smart card production expanded modestly to $X in 2022 estimated in export price. Overall, production recorded a prominent expansion. The most prominent rate of growth was recorded in 2013 when the production volume increased by 43%. The level of production peaked at $X in 2020; however, from 2021 to 2022, production remained at a lower figure.

Smart Card Exports

Exports in MERCOSUR

In 2022, overseas shipments of cards incorporating an electronic integrated circuit (smart card) increased by 14% to X units, rising for the third year in a row after two years of decline. Overall, exports posted a strong expansion. The growth pace was the most rapid in 2020 with an increase of 69%. Over the period under review, the exports hit record highs in 2022 and are likely to continue growth in years to come.

In value terms, smart card exports rose sharply to $X in 2022. The total export value increased at an average annual rate of +2.5% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2020 when exports increased by 34%. The level of export peaked in 2022 and is expected to retain growth in the near future.

Exports by Country

In 2022, Brazil (X units) was the main exporter of cards incorporating an electronic integrated circuit (smart card), creating 77% of total exports. It was distantly followed by Colombia (X units), making up a 23% share of total exports.

From 2012 to 2022, average annual rates of growth with regard to smart card exports from Brazil stood at +7.7%. At the same time, Colombia (+41.4%) displayed positive paces of growth. Moreover, Colombia emerged as the fastest-growing exporter exported in MERCOSUR, with a CAGR of +41.4% from 2012-2022. Colombia (+21 p.p.) significantly strengthened its position in terms of the total exports, while Brazil saw its share reduced by -20.6% from 2012 to 2022, respectively.

In value terms, Brazil ($X) and Colombia ($X) constituted the countries with the highest levels of exports in 2022.

Colombia, with a CAGR of +34.8%, recorded the highest growth rate of the value of exports, in terms of the main exporting countries over the period under review.

Export Prices by Country

In 2022, the export price in MERCOSUR amounted to $X per unit, flattening at the previous year. Overall, the export price continues to indicate a abrupt decrease. The growth pace was the most rapid in 2019 when the export price increased by 35%. The level of export peaked at $X per unit in 2013; however, from 2014 to 2022, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Colombia ($X per unit), while Brazil totaled $X per unit.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Colombia (-4.7%).

Smart Card Imports

Imports in MERCOSUR

In 2022, purchases abroad of cards incorporating an electronic integrated circuit (smart card) decreased by -6.7% to X units for the first time since 2016, thus ending a five-year rising trend. Overall, imports, however, saw a strong expansion. The most prominent rate of growth was recorded in 2019 with an increase of 61% against the previous year. Over the period under review, imports hit record highs at X units in 2021, and then shrank in the following year.

In value terms, smart card imports expanded modestly to $X in 2022. In general, imports saw a noticeable decline. The pace of growth appeared the most rapid in 2021 when imports increased by 14%. The level of import peaked at $X in 2012; however, from 2013 to 2022, imports remained at a lower figure.

Imports by Country

In 2022, Brazil (X units) represented the main importer of cards incorporating an electronic integrated circuit (smart card), creating 51% of total imports. Chile (X units) took the second position in the ranking, followed by Colombia (X units), Peru (X units) and Argentina (X units). All these countries together took near 41% share of total imports. The following importers - Ecuador (X units) and Paraguay (X units) - together made up 5.3% of total imports.

From 2012 to 2022, average annual rates of growth with regard to smart card imports into Brazil stood at +7.9%. At the same time, Paraguay (+13.6%), Ecuador (+12.5%), Colombia (+12.1%), Chile (+11.0%) and Peru (+7.3%) displayed positive paces of growth. Moreover, Paraguay emerged as the fastest-growing importer imported in MERCOSUR, with a CAGR of +13.6% from 2012-2022. Argentina experienced a relatively flat trend pattern. While the share of Colombia (+3.9 p.p.), Brazil (+3.5 p.p.) and Chile (+3.3 p.p.) increased significantly in terms of the total imports from 2012-2022, the share of Argentina (-9.4 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest smart card importing markets in MERCOSUR were Chile ($X), Brazil ($X) and Peru ($X), together accounting for 63% of total imports. Colombia, Argentina, Ecuador and Paraguay lagged somewhat behind, together comprising a further 28%.

Paraguay, with a CAGR of +5.8%, recorded the highest rates of growth with regard to the value of imports, among the main importing countries over the period under review, while purchases for the other leaders experienced mixed trends in the imports figures.

Import Prices by Country

The import price in MERCOSUR stood at $X per unit in 2022, surging by 13% against the previous year. Overall, the import price, however, recorded a abrupt descent. The pace of growth appeared the most rapid in 2013 when the import price increased by 18% against the previous year. As a result, import price reached the peak level of $X per unit. From 2014 to 2022, the import prices failed to regain momentum.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Chile ($X per unit), while Brazil ($X per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Paraguay (-6.9%), while the other leaders experienced a decline in the import price figures.

Source: IndexBox Platform