Building Plaster Product Manufacturing in the UK Industry Market Research Report Now Updated by IBISWorld
London, United Kingdom (PRWEB) July 30, 2013 -- Before 2008, the Building Plaster Product Manufacturing industry was doing well. High levels of disposable income and financial security were behind a booming construction sector. Residential and commercial building projects, bolstered by easy capital access, were surging sources of demand for building plaster products. According to IBISWorld industry analyst Robert Scotton, “the economic downturn that struck in 2008 dealt a devastating blow to the construction sector, slashing demand for the plaster products used by builders.” Industry revenue plummeted as a result.
Government intervention helped temporarily stem the loss by pouring public funds into new building projects. However, the Labour government responsible for these policies was replaced by a coalition that quickly reversed them. This led to persistent stagnation in the construction sector and the upstream Building Plaster Products Manufacturing remained in the red. The outcome of all this is expected to be a compound annual revenue decline of 3.4% over the five years through 2013-14. Revenue is forecast to reach £648.1 million at the end of the current year after a 1.7% fall from 2012-13 figures.
However, a modest recovery is forecast for the next few years. The coalition government has gone to great lengths to get Britain building again. From the relaxation of planning restrictions to the provision of direct financial support to property developers, Westminster is demonstrating its keenness to bolster the construction sector. An improving economic outlook is also drawing more construction investment as landlords position themselves to capitalise on rising property prices. This is good news for the UK Building Plaster Product Manufacturing industry. Scotton adds, “a rising number of building projects should similarly boost demand for essential plaster-based building materials.” As a result, industry revenue is projected to return to growth over the five years through 2018-19. Despite this, profitability, badly bruised by the economic downturn, is unlikely to grow at the level projected for industry revenue. Increasingly concentrated competition is expected to squeeze margins as firms battle for market share.
The Building Plaster Product Manufacturing industry has an extremely high market share concentration, as the three major manufacturers are estimated to account for 90.9% of annual industry revenue. Other enterprises operating in the industry are small. They tend to be one- or two-person ventures that cater to niche markets, such as producers of bespoke fibrous plaster mouldings like ceiling roses and ornate cornices. Major companies include Saint-Gobain, Knauf Drywall and Siniat.
For more information on the Building Plaster Product Manufacturing industry, including latest industry trends, statistics, analysis and market share information, purchase the full report from IBISWorld, the nation’s largest publisher of industry research.
IBISWorld industry Report Key Topics
Companies in this industry manufacture gypsum-based plaster products for use in construction. This includes products that are faced or reinforced with paper or paperboard (e.g. plasterboard), and non-reinforced plaster products (e.g. premixed and bagged plasters).
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About IBISWorld
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on many UK industries. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in London, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.co.uk or call (020) 7222 9898.
Gavin Smith, IBISWorld, 310 866 5042, [email protected]
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