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Precast concrete water and waste handling products to grow over 5% annually

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World Cement,

Demand for precast concrete water and waste handling products is projected to rise 5.1% per year to US$1.2 billion in 2020.

Water and waste handling products made from precast concrete include septic tanks, manholes, water and sewer system components, grease interceptors, hazardous material containers and other products. The residential market will be a key driver of growth, as advances in housing starts and manufactured housing placements boost septic tank demand. In the nonbuilding segment, advances in water and sewer construction spending will spur demand for manholes, water and sewer system components, and other products.

Much like the US transportation infrastructure, many of the nation’s potable water and sewage and drainage facilities have reached the end of their expected useful lifespans and require repair or replacement. In the nonresidential market, strong growth in office and commercial construction spending and advances in institutional construction expenditures will boost demand for precast concrete grease interceptors and many other products. Grease interceptors are required in many restaurants and other buildings with commercial kitchens to keep waste materials out of sewer lines.

More rapid gains in demand for precast concrete water and waste handling products will be checked by competition from other materials. Moreover, according to analyst Mariel Behnke, “Products made from site-poured or cast-in-place concrete are usually less expensive than those made from precast concrete and generally offer comparable performance qualities.” Plastic products such as septic tanks and grease interceptors will see rising use, as these products weigh less (reducing installation costs) and have product lifespans that rival or exceed those of precast products.

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