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Short term pain, longer term gain expected for ready-mixed concrete producers

Published by , Editorial Assistant
World Cement,

According to BDS Marketing Research, in the middle part of the current decade the ready-mixed concrete market recovered a significant amount of the ground that was lost as a result of the 2007 recession. Annual outputs returned to more than 25 million m3. However, the last two years have seen that recovery begin to erode, as the impact of Brexit and a general slowdown in the construction market have started to take effect.

The leading five companies continue to account for over 60% of the total market, but this share is declining as independent producers account for more of the new plants constructed in recent years. In addition, the share accounted for by the onsite batched (volumetric) sector has continued to grow and is now thought to exceed 10%. This sector is set for some degree of change in the coming years, following the introduction of new regulations introduced by the Department of Transport in 2018.

These are some of the conclusions of a report published by BDS Marketing Research Ltd, entitled ‘The ready-mixed concrete industry in Great Britain – its structure, markets, and prospects’. Published in June 2019, the report updates and extends an industry review that was first carried out three years ago. New industry innovations relating to product development, service and delivery, company and plant ownership, legislation, and sustainability are also highlighted.

According to BDS Marketing, the outlook for the industry remains weak in the short term, but growth in expected to return from 2020 as major infrastructure projects start to progress and housebuilding levels improve. Pre-recession levels of market activity could be reached by the end of 2022.

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This article has been tagged under the following:

European cement news UK cement news Concrete news Cement news 2018