The global resources boom fuels industry growth
Melbourne, Australia (PRWEB) May 10, 2013
The Mining and Industrial Machinery Wholesaling industry enjoyed vigorous growth before and after the global financial crisis, underpinned by surging demand for mining machinery and equipment due to the global resources boom. According to IBISWorld industry analyst Ricky Willianto, “Strong growth in freight volumes and investment in water infrastructure also stimulated demand for material-handling equipment and pumps.” However, the terminal decline of the Australian Manufacturing division has constrained demand for machine tools and other machinery.
Revenue for the Mining and Industrial Machinery Wholesaling industry is forecast to grow by 8.1% in 2012-13. The strong growth can be attributed to increased investment in capital from the Mining division, which is a major market for the industry. Despite price declines for various mining commodities, a strong sentiment in the division has encouraged many mining operators to continue pouring money into exploration activities. “This has bolstered the demand for various mining machineries over the past five years,” says Willianto.
Industry growth is expected to continue over the next five years. Improving business conditions and rising industrial production should encourage manufacturers to invest in machinery and equipment. Developing economies and their appetites for Australian mineral and energy resources will underpin demand for mining machinery. Strong import competition will continue to place pressure on the Manufacturing division, weighing on demand for industry products. However, the mining and water treatment sectors should remain solid markets for industry wholesalers.
For more information, visit IBISWorld’s Mining and Industrial Machinery Wholesaling report in Australia industry page.
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IBISWorld industry Report Key Topics
Operators in the industry wholesale a range of machinery, parts and equipment that are mainly used as part of the production process. Products wholesaled by operators in the industry include everything from food processors to pumps and compressors.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Technology & Systems
Regulation & Policy
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