July 23, 2024

Strong Infrastructure Growth To Bolster The Expansion Of The Australia Lime Market

Market Overview:

Lime is a calcium-containing inorganic material in which carbonates, oxides and hydroxides predominate. It is widely used in many industrial processes like steel production, sugar processing and paper manufacturing. It is also used in construction activities including masonry cement,mortar, concrete and plasters. Lime has self-hardening property which enables setting of concrete. It improves workability of concrete and imparts resistance to corrosion. The rising infrastructure projects and construction activities in Australia are expected to boost the demand for lime over the forecast period.

Market key trends:

One of the key trends in the Australia lime market is strong focus on infrastructure development projects. The Australian government is investing heavily in transport and infrastructure projects such as roads, railways, ports to support economic growth. According to Infrastructure Australia, total infrastructure spending in Australia is projected to reach US$ 48 billion by 2024-25. This significant investment in road and transportation infrastructure is anticipated to drive the demand for lime in construction applications like concrete, mortar and cement over the forecast period. Moreover, growing construction of residential and commercial buildings particularly in major cities is also estimated to boost the utilization of lime products in Australia.

Porter’s Analysis
Threat of new entrants: The Australia lime market has moderate threat of new entrants due to high capital requirement for establishing manufacturing plants and presence of many established players.
Bargaining power of buyers: The bargaining power of buyers is high due to availability of numerous substitute products and undifferentiated nature of lime.
Bargaining power of suppliers: The bargaining power of suppliers is moderate owing to availability of several suppliers and easy availability of raw materials required for production of lime.
Threat of new substitutes: The threat of new substitutes is high in the market due to presence of ample substitute options like cement and gypsum.
Competitive rivalry: intense.

Key Takeaways

The Global Australia Lime Market Demand is expected to witness high growth, exhibiting CAGR of 2.1% over the forecast period, due to increasing infrastructural developments and growth in construction industry.

Regional analysis
The lime market in Australia is dominated by New South Wales region holding around 30% share owing to presence of key players and expanding construction industry. New constructions of bridges, buildings and roads are fueling demand for lime in this region. Victoria is the fastest growing region due to increasing investments in infrastructure projects.

Key players
Key players operating in the Australia lime market are Adelaide Brighton Ltd, Boral Ltd., Sibelco Australia, Omya Australia Pty Ltd, Wagners, and Lime Group Australia. Adelaide Brighton Ltd is the largest player with around 25% market share due to its wide distribution network and portfolio of concrete and quarry products.

Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it