Seventeen asphalt plants closed in the last year
SEVENTEEN asphalt plants are thought to have closed in Great Britain over the last 12 months. Of these, six have been replaced with new plants, but 11 have closed and are unlikely to reopen unless market conditions improve. This is one of the conclusions of BDS Marketing’s annual report on the asphalt industry entitled: ‘Estimated outputs of asphalt plants in Great Britain’.
As well as identifying changes in plant ownership and coverage, the report estimates the outputs of all plants in the country and provides a three-year industry forecast. Market shares on a county, regional and national basis are also calculated for each company.
With an estimated market share of 28%, Tarmac continue as the largest asphalt supplier, a position they have held for many years, while the top-five companies – Tarmac, Aggregate Industries, Hanson, CEMEX and Lafarge, between them, are estimated to have over 80% of the market. The remainder of the market is represented by around 30 companies.
BDS believes that Aggregate Industries are the largest asphalt suppliers in the South East, East Midlands and Scotland, while Tarmac are thought to be the largest producers in most other regions of the country.
The asphalt market fell by nearly 20% in 2009, following on from a 3% drop in 2008, and BDS say they have identified only 13 Highways Agency road schemes planned to start in 2010, which could have a significant impact on the industry from next year when the sector is also likely to be grappling with falling local authority expenditure on road maintenance.
The only bright note on the horizon is the current M25 and A46 road contracts, which will provide a boost in the short term.
For further information contact Julian Clapp at BDS Marketing Research Ltd on tel: (01761) 433035; or email: [email protected]