Market outlook of the cement market in the GCC
Technavio’s market research analyst has estimated the cement market in the GCC to post a healthy market growth rate of more than 6% during the forecast period. The rise in population, increase in tourists, demand for affordable houses, and the development of new cities are some of the factors that are expected to propel market growth during the forecast period.
Augmented investments in the transportation sector is the major driving factor for the growth of this market. Due to the recent increase in tourism, the government in this region is planning to invest heavily in the public transit system. Consequently, the construction of new railway networks, seaports, and airports is expected to spur the demand for cement in this region during the forecast period.
Competitive landscape and key vendors
Since the cement market is an integral part of the construction segment, growth in this sector will result in the growth of the cement market during the forecast period. This market is dominated by large vendors like Gulf Cement and Kuwait Cement and is characterized by intense competition among the established pure players.
Key vendors in this market are -
Technavio Announces the Publication of its Research Report – Cement Market in GCC 2015-2019
Technavio recognizes the following companies as the key players in the Cement Market in GCC: Gulf Cement, Kuwait Cement Company, Lafarge, Oman Cement Company, Qatar National Cement and Saudi Cement Company
Other Prominent Vendors in the market are: Al Safwa Cement, Aljabor Cement Industries, Eastern Province Cement, Fujairah Cement Industries, Jebel Ali Cement, Khalid Cement Industries Complex, Najran Cement, National Cement, Pioneer Cement, Ras al-Khaimah Cement, Southern Province Cement, Tabuk Cement, Teba Cement Factory, Yamama, and Yanbu Cement.
Commenting on the report, an analyst from Technavio’s team said: “The use of blended cement in Saudi Arabia has been increasing. Blended cement is manufactured by adding pozzolanic materials such as fly ash, silica fume, and slag to the cement clinker and gypsum. This helps to improve the overall quality of the concrete, making it resistant to high temperatures and corrosion. In general, ordinary Portland cement is the most widely used blending material for concrete.”
According to the report, one of the major drivers propelling demand for cement in the country is increased investment in the transportation sector. The increase in population and rise in inbound tourism are driving the government to invest significantly in the public transit system.
Further, the report states that the three-year cement export ban in Saudi Arabia is posing a serious challenge for the cement producers. Saudi Arabia has a domestic surplus in cement production and because of the export ban, many of the cement manufacturers are shutting down their production lines in the country.
Gulf Cement, Kuwait Cement Company, Lafarge, Oman Cement Company, Qatar National Cement, Saudi Cement Company, Al Safwa Cement, Aljabor Cement Industries, Eastern Province Cement, Fujairah Cement Industries, Jebel Ali Cement, Khalid Cement Industries Complex, Najran Cement, National Cement, Pioneer Cement, Ras al-Khaimah Cement, Southern Province Cement, Tabuk Cement, Teba Cement Factory, Yamama, Yanbu Cement.
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