Geosynthetics is a class of synthetic products that are used mainly in construction and geotechnical engineering applications. These are versatile, highly durable materials and serve as cost-effective alternatives in geotechnical, environmental and hydraulic applications. Geosynthetics are made up of durable polymers such as High-density polyethylene (HDPE), Polypropylene (PP), Polyester, these are incorporated in order to act as separators, filters, reinforcements, drainage facilitators and as liquid and gas barriers. As such, owing to their favourable physical properties includes strength, stiffness, durability and many others it is widely used in civil engineering, road industry, soil reinforcement, mining, among others. Over the recent past, the growing adoption of Geosynthetics across the globe has resulted in a steady growth. Moreover, increasing investments in infrastructure and environmental projects by both, developing and developed countries are likely to drive the growth of the market. Also increasing demand from waste treatment applications, transportation sector and regulatory support on account of enhancing civic amenities, several projects were taken by national government which has continued to fuel the growth. However, volatility of raw material prices used in manufacture is a major restraint to the growth.
Asia Pacific accounts for the largest share of global market and is expected to emerge as the fastest growing market during the forecast period. Countries like India, China and Russia in particular, are expected to witness robust growth in adoption in construction and geotechnical projects. Geotextiles segment accounts for the largest share in market value. The global Geosynthetics market growth is driven majorly by their increased adoption in a variety of applications in construction sector, emergence of these as viable alternatives in waste and water applications has further bolstered global geosynthetics market growth. Moreover, increasing number of infrastructure development projects in developing countries and increasing demand of geosynthethics in roadways and rail construction applications across the globe has resulted in a steady growth of global geosynthetics market.
According to a research report by Transparency Market Research, the global geosynthetics market is pegged to hit US$11.3 bln by the end of 2016 and is expanding from thereon at a CAGR of 9.1% given from 2015 to 2023. Geotextiles are and will continue to be the leading product segment in the global geosynthetics market. By 2023, geotextiles are expected to accrue 39.7% of the market volume. The three leaders of market in 2014 – Officine Maccaferri S.p.A., GSE Environmental, Inc., and TenCate Geosynthetics – had a collective share of 27.7% in its highly fragmented competitive landscape. While the key players in the market do hold prominent production capacities in core regions of the world, the market is still largely taken up by the smaller, regional players.
Asia Pacific has already been the leading region in terms of consumption for 2015. This region is likely to maintain its high consumption rate till 2023. It is also likely to take up a larger share of the market, cutting down the percentage shares that North America and Europe will hold. Meanwhile, the key function for geosynthetics over the coming few years is expected to be containment. This function has already been the leading segment so far and is expected to garner 42.1% of the market in terms of volume. One of the key drivers in favor of the market currently is the global need for green infrastructure. Nations are looking to evolve existing industries while also paying more attention to reducing their carbon footprint. The market is capable of providing the one-size-fits-all solution that many countries are looking for.
Geosynthetics are heavily preferred due to the excellent physical properties they bring to the table. They are effective in providing containment and reinforcement to structures and are additionally flexible in nature. This makes them a valuable asset in construction projects such as road widening, road base reinforcements, noise reduction barriers, soft soil stabilization, reinforced banking, and reinforcing wall and slope. Geosynthetics are highly useful in the prevention of soil erosion, a key cause of concern for several countries. It is the causation factor for eutrophication, increases the chances of floods in the region, destroys biodiversity of a region, and creates sedimentation issues for further soil formation. The global geosynthetics market can therefore be the solution for a great number of problems affecting the topography of the world.
“Naphtha, the key ingredient required to manufacture the raw materials for geosynthetics – polyester, polyethylene, and polypropylene – is not entirely in ample supply. Naphtha is a derivative of crude oil products and crude oil prices are currently extremely volatile in nature. Additionally, the prioritization of crude for fuel and other by-products is higher than the production of naphtha and consequently, geosynthetics,” states a TMR analyst. Crude pricing also varies from region to region, creating a greater disparity in availability. The analyst adds, “There are, however, several areas where the manufacturers can expand their business in. for example, one of the key opportunities for the market is the growing use of geosynthetics in green constructions. The growing demand or green walls and green roofs is definitely something that players can look into.”
As per Future Market Insights, over the recent past, the growing adoption across the globe has resulted in a steady growth of Geosynthetics. Moreover, increasing investments in infrastructure and environmental projects by both, developing and developed countries are likely to drive the growth of this market. Also increasing demand from waste treatment applications, transportation sector and regulatory support on account of enhancing civic amenities, several projects were taken by national government which has continued to fuel the growth in the market. However, volatility of raw material prices used in manufacture of geosynthetics is a major restraint to the growth of the market.
Asia Pacific accounts for the largest share of global geosynthetics market and is expected to emerge as the fastest growing market during the forecast period. Countries like India, China and Russia in particular, are expected to witness robust growth in adoption of geosynthetics in construction and geotechnical projects. Among the product type based segments of global geosynthetics market, geotextiles segment accounts for the largest share in market value.
The market growth is driven majorly by their increased adoption in a variety of applications in construction sector, emergence of these as viable alternatives in waste and water applications has further bolstered global market growth. Moreover, increasing number of infrastructure development projects in developing countries and increasing demand in roadways and rail construction applications across the globe has resulted in a steady growth of global geosynthetics market.
Geosynthetics Market is estimated to be worth US$15,403.7 mln by 2019, as per Markets and Markets, at a CAGR of 10.99% between 2014 and 2019. North America dominated the geosynthetics market in 2013. Asia-Pacific is projected to gain the major market size by value by 2019. Geotextiles held the major share in the geosynthetics value market in 2013 and would remain the largest shareholder till 2019. The geomembranes held the second largest share for the geosynthetics market value, and projected to grow with a healthy CAGR, from 2014-2019.
As per Grand View Research, the gobal geosynthetics market is estimated to reach US$27.08 bln by 2022. Construction industry growth in India, China and Middle East, on account of rising expenditure on infrastructure development is expected to be a crucial driving factor for geosynthetics market growth. Increasing application of geotechnical products for controlling seepage problems in building and irrigation projects is expected to have a favourable impact. Growing shale gas production in U.S. and Canada on account of increasing expenditure on hydraulic fracturing at domestic level may drive industry growth in the near future. Geotextiles market were the largest product segment with demand estimated over 4,300.0 million square meters in 2014. They find application in erosion control and soil reinforcement on account of properties such as flexibility, permeability and enhanced thickness.
Further key findings from the study suggest:
* Global geosynthetic market size was 6,124 mln sq mtrs in 2014 and is expected to reach above 9,000 mln sq mtrs by 2022, growing at a CAGR of 5.1% from 2015 to 2022.
Roads & pavements accounted for over 30% of global volume in 2014. Geogrids and geotextiles are incorporated for soil reinforcement and facilitating filtration during road construction.
* Containment & waste water application is expected to witness the fastest growth in terms of volume, at a CAGR of 5.7% from 2015 to 2022. Rising importance of waste water treatment in mining and upstream oil & gas sectors is expected to increase geotechnical product use in the near future.
* Asia Pacific geosynthetic market was valued over US$6,100 mln in 2014. The Government of India announced Make in India Campaign in September 2014 which is aimed at increasing manufacturing output through foreign direct investment at domestic level. This supportive plan is expected to increase expenditure in construction industry and thus likely to have a positive impact on the market.