Industry Analysis & Industry Trends
The Gravel, Sand and Clay Extraction industry has crumbled over the five years through 2013-14. The industry was undermined by the collapse of construction activity brought by the economic crisis. Gravel and sand are used extensively in the production of cement and concrete, and clay is used to make bricks and roof tiles. In the aftermath of the financial crisis, the construction industry contracted sharply and few new builds were begun, forcing operators to slash their extraction volumes. As a result, both output and prices have plunged over the past five years, as the industry has wrestled with oversupply. Profit fell even more steeply, as firms lost the economies of scale associated with bulk supplying. A... purchase to read more
Industry Report - Industry Products Chapter
The extraction of gravel and sand generates most of the industry's revenue. Clay offers a far less attractive margin for extractors. The bulk volumes of gravel and sand demanded by large-scale construction projects drew operators into the industry but cement and concrete usage tailed off during the recession.
Gravel and crushed rock generate 67.7% of industry revenue. This segment includes any kind of rock that has been crushed or comes in small pieces, such as pebbles, shingle and flint. Gravel is used mainly as a construction aggregate to add strength. Concrete production is the chief consumer of aggregate products... purchase to read more