Ready-mixed concrete market to grow until 2029

Globally, the ready-mixed concrete market was valued at US$59.8 billion at the end of 2018. East Asia is expected to account for a lion’s share in the global ready-mixed concrete market throughout the forecast years, owing to the rising demand from China.

Dynamics

The construction materials market, primarily ready-mixed concrete, has witnessed substantial incremental growth over the recent years. This can be primarily attributed to the economic conditions in numerous countries. The construction industry across emerging economies is anticipated to witness acceleration in various large-scale infrastructure programmes, which, in turn, is expected to create public-private partnership opportunities. Thus, a combination of increasing governmental spending and favourable economic conditions are expected to assist the global ready-mixed concrete market over the coming years.

However, the market faces various challenges, such as the on-time delivery of ready-mixed concrete at construction sites. PMR has noted that the uninterrupted and timely delivery of ready-mixed concrete at construction sites is of utmost importance for effective construction operations. Due to the small time window available for the transportation of concrete material, delivering this material in the shortest time is imperative.

The utilisation of environmentally-friendly products for the manufacturing of ready-mixed concrete is found to be one of the key trends in the global ready-mixed concrete market. For instance, RMCMA joined with the Confederation of Indian Industry and the Quality Control Council of India, to develop a green product certification for ready-mixed concrete.

Forecast

Among the different concrete types, the flowable fill/CLSM segment accounted for a very small share in the market at the end of 2018. However, its demand is expected to witness prominent growth in the global ready-mixed concrete market over the forecast years. The flowable fill/CLSM concrete type is a comparatively economic alternative to compacted granular fill, which also saves labour costs, time, and equipment.

Considering the regions, developing economies such as India and China are expected to witness substantial growth throughout the forecast years, supported by various governmental initiatives towards developments, such as the Bharat Mala Pariyojna, Sagarmala Project, Shanghai urban rail transit expansion, an intercity rail network in Eastern Guangdong, etc. The ready-mixed concrete market in North America is expected to witness a below-average growth rate over the forecast years.

Competitive landscape

Owing to low entry barriers, a large number of players are continuously investing in production facilities for ready-mixed concrete across the globe. As a result, the market structure of ready-mixed concrete is found to be consolidated in nature. The top five players in the global ready-mixed concrete market were found to account for around 12% of the overall sales of ready-mixed concrete in 2018. Long-term contracts and the introduction of environmentally friendly ready-mixed concrete are found by PMR to be the key strategies being adopted by players in the market.

Read the article online at: https://www.worldcement.com/asia-pacific-rim/10062019/ready-mixed-concrete-market-to-grow-until-2029/