UK aggregates markets continue to recover
Although aggregates volumes fell in 2012, volumes recovered by 6% last year with
growth continuing to increase in 2014.
Production has been increasing in both sand and gravel and crushed rock. However,
companies in the Midlands and South appear to be enjoying a better recovery than
suppliers in northern England and Scotland.
These are some of the conclusions of the annual BDS report on the aggregates industry
entitled: ‘Estimated outputs of pits, quarries and marine wharves in Great Britain’. This
report is the only independent source of information on the outputs and shares of all
sites and companies in the country.
Commenting on the report, principal consultant, Julian Clapp said: ‘Volumes in the first
half of 2014 have increased by more than 10% over the same period last year. We do
not expect the same pace of growth in the second half of the year. However, outturn
aggregates volumes for 2014 could still be 8% higher than last year. Current indications
suggest further growth in each of the next two years’.
BDS has found that Lafarge Tarmac is the largest aggregates company in the UK, with a
share of around 25%. The next largest companies are Aggregate Industries, Hanson and
Cemex. Together, the consultancy estimates that these four companies have over 60%
of the market.
As well as outputs and market shares, the report lists over 50 quarries that have closed,
mothballed or opened over the last year. The industry continues to evolve. Although
there have been no major acquisitions in the past year, BDS has also identified 26
quarries that have changed ownership during this period.
Publication of this report is timely as it has recently been announced that Lafarge
Tarmac is to be sold. ‘Our annual survey of the aggregates industry will be a valuable
reference document for all companies considering making an offer for Lafarge Tarmac.
It will tell them the market position of the company in all local markets, relative to its
competitors. It will also benefit other businesses with an interest in the sector’ said
Julian Clapp.
www.bdsmarketing.co.uk