Low-cost imports have steadily captured a greater share of the domestic demand for flat-glass products.
Melbourne, Australia (PRWEB) October 23, 2014
Players in the Glass and Glass Product Manufacturing industry in Australia operate in two key segments: the glass container segment and the flat-glass segment. The glass container segment is dominated by two local firms, Owens-Illinois Australia and Orora Limited (formerly Amcor Glass), which manufacture bottles and jars for packaging beverages and food products. The flat-glass segment includes Viridian (CSR Limited), “which is the only local float glass manufacturer, along with many small to medium firms producing a range of fabricated glass products,” says IBISWorld industry analyst Anthony Kelly. The industry comprises about 725 enterprises employing 9,150 people in 2014-15, with about 94.0% of businesses employ fewer than 20 people. The industry exhibits a medium level of market share concentration. Major players include Owens-Illinois (Australia) Pty Limited, CSR Limited and Orora Limited.
The total domestic market for glass and glass products is forecast at $3.8 billion for 2014-15. Imports are estimated to capture 15.7% of domestic demand, while export earnings contribute 2.0% of industry revenue. The industry is projected to generate revenue of $3.3 billion in 2014-15, representing a moderate increase by 1.9% on the previous year due to investment into new housing and commercial building construction. “Demand from wine and beer bottling is projected to remain weak during 2014-15, and the industry is likely to endure deteriorating demand for automotive glass products,” Kelly adds.
Over the five years through 2014-15, industry revenue is projected to decline at an annualised 2.5%. This decline principally reflects adverse demand conditions for flat-glass products in the housing and non-residential building markets, and the shift offshore of automotive glass production. The Glass and Glass Product Manufacturing industry derived some stimulus from the demand for glass bottles for alcoholic beverages and premium non-alcoholic drinks. Low-cost imports have steadily captured a greater share of the domestic demand for flat-glass products, while local wine makers are increasingly exporting wine in bulk containers for bottling at the end market. Growth over the next five years will be mainly supported by stronger trends in key building markets.
For more information, visit IBISWorld’s Glass and Glass Product Manufacturing industry in Australia report page.
The Glass and Glass Product Manufacturing industry consists of companies that manufacture glass or glass products.
Follow IBISWorld on Twitter: http://twitter.com/#!/ibisworldau
IBISWorld industry Report Key Topics
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
About IBISWorld Inc.
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 every Australian industry. 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 Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.