According to a new report from Frost
and Sullivan, the frenzied pace of infrastructural developments in South
Africa and Kenya is growing the market
for thermoset resins in both countries.
Significant government investment, especially in low-cost housing, road and
other non-domestic structures, has given
a boost to the paints and coatings, construction chemicals and composites markets. These markets, in turn, have raised
the demand for thermoset resins. New
analysis from Frost & Sullivan, Analysis
of the Thermoset Resins Market in South
Africa and Kenya, finds that the market
earned combined revenues of $280.8 million in 2013 and estimates this to reach
$339.4 million in 2017. South Africa accounted for 97.5 percent of the total sales
and Kenya, the remaining 2.5 percent.
“Although South Africa’s economic
growth has slowed, a $360 billion gov-
ernment infrastructural development
plan is likely to keep its thermoset resins
market afloat till 2030,” said Frost &
Sullivan Chemicals, Materials & Food
Industry Analyst Dilshaad Booley. “The
growth rate in Kenya is expected to be
much higher, as the country is sorely
lacking in modern infrastructure and is
aggressively pursuing its development
goals in line with its vision of becoming a
middle-income nation by 2030.”
South Africa has adequate resources
to supply almost 90 percent of its ther-
moset resins demand domestically. Its
local refineries are the most efficient in
Africa, with an average utilization capac-
ity of 85 percent. Although this insulates
the market from import price fluctua-
tions, the country’s escalating produc-
tion costs are exposing it to competition
from cheap imports. The government
can attempt to stave off this challenge
by imposing higher import tariffs and
companies can utilise energy more ef-
ficiently during the manufacturing pro-
cess. Kenya, on the other hand, imports
almost all of its thermoset resins and is
vulnerable to constant currency volatility
and high transport costs due to poor rail
and road conditions. However, this is be-
ing remedied by the government’s invest-
ment into the sector. “Rail transport is
performing at 10 percent of its capacity
due to the deterioration of infrastructure
and operational inefficiency in Kenya, re-
sulting in higher thermoset resins prices,”
said Booley. “South Africa, meanwhile,
is threatened by imports from China,
which is able to manufacture and trade
products at lower costs due to economies
of scale, lower labor costs and preferen-
tial trade tariffs.”
Kenya can lower the prices of ther-
moset resins and increase local manu-
facturing through proper maintenance
and better infrastructure, with longer rail
networks from the ports. In South Africa,
overcoming soaring energy costs is key to
making locally produced products price
competitive with imports. Local content
policies in both countries will also aid the
usage of thermoset resins in their respec-
tive domestic markets.
TechNavio Predicts Global
Marine Coatings Market to
Grow
TechNavio’s analysts forecast the global
marine coatings market to grow at a
CAGR of 11. 29 percent over the period
2013-2018. One of the key factors con-
tributing to this market growth is the
expansion of the oil and gas market.
The global marine coatings market has
also been witnessing the growing con-
sumer preference for eco-friendly prod-
ucts; however, the strict environmental
regulations could pose a challenge to the
growth of this market. TechNavio’s re-
port, the Global Marine Coatings Market
2014-2018, has been prepared based on
an in-depth market analysis with inputs
from industry experts. The report cov-
ers the APAC and EMEA regions, and
the Americas; it also covers the Global
Marine Coatings market landscape and
its growth prospects in the coming years.
The report also includes a discussion of
the key vendors operating in this market.
Grand View Research
Reports on Global Biocides
Market
The global market for biocides is expected to reach $10.745.7 million by 2020,
according to a new study by Grand View
Research, Inc. Growing population coupled with growing concerns for industrial
waste water treatment is expected to drive
biocide demand over the next six years. In
addition, positive outlook on key application markets such as textiles, paints and
coatings, primarily in Asia Pacific, Latin
America and Eastern Europe, is also expected to boost the demand for biocides
over the forecast period.
Halogen compounds dominated the
biocide product space, accounting for
over 27 percent of global market revenue
in 2013. However, environmental concerns, regarding the disposal and impact
of halogen-based compounds are expected to reduce market penetration for these
products by 2020. Phenolic biocides are
expected to be the fastest growing product segment, at an estimated CAGR of
6. 9 percent from 2014 to 2020.
The global market for biocides was estimated to be $7.308.0 million in 2012,
and is expected to grow at a CAGR of 5
percent from 2014 to 2020.
North America is expected to continue
its dominance in the global market and is
expected to account for over 40 percent
of the total market by the end of 2020.
Asia Pacific is expected to be the fastest
growing regional market, with market
revenue expected to reach USD 3,454.7
million by 2020, at a CAGR of 6.2 percent from 2014 to 2020.The global market for biocides is concentrated with top
participants, including Arch Chemical,
ISP, Dow Microbial Control and Troy
Corporation, accounting for over 55 percent of the total demand in 2013. CW
Govt. Development Plan Boosts Demand
for Thermoset Resins in South Africa
