Showing grit: Despite slowing construction output, revenue is expected to grow in 2018-19

Gravel and sand are used extensively in the production of cement and concrete. Sand is a fundamental input into the manufacture of glass, while clay is used to make bricks and roof tiles. As a result, industry demand fluctuates with the level of construction activity in the United Kingdom and the level of government capital expenditure. Operating conditions were particularly difficult for the industry at the beginning of the five-year period through 2018-19. The lingering effects of the economic downturn were still taking their toll on demand, and revenue dipped by 8.4%% in 2014-15 as result. Following this, general rises in confidence aided construction activity and slightly boosted demand for industry products during the first half of the period...read more.

Industry Statistics & Market Size
Revenue
£2.9bn
Annual Growth 14-19
-2.0%
Forecast Growth 19-24
Profit
Employment
8,582
Businesses
167

Industry Threats & Opportunities

  • Revenue has fluctuated over the past five-year period, and is expected to decline overall
  • Government initiatives for the housing market led to higher residential construction, boosting industry demand
  • Rising residential construction activity is expected to increase industry demand
  • Industry Report - Industry Locations Chapter

    The South EastThe South East accounts for 15.9% of industry establishments, which largely reflects the level of construction activity that takes place in this region and London. The cost of materials extracted relies heavily on transport costs, as the industry products tend to be bulky and of low value.Furthermore, a large amount of dredging activity takes place off the South Coast, with Cemex possessing a number of operations in the area. However, increasing population density and pressure on land for alternative uses makes the South East a difficult region to expand into...purchase to read more.

    Additional Insights for the Gravel, Sand & Clay Extraction Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Gravel, Sand & Clay Extraction Industry are

  • Ability to accommodate environmental requirements
  • Must have licence
  • Proximity to key markets
  • IBISWorld analysts also discuss how external factors such as Total value of construction and Government capital expenditure in the Gravel, Sand & Clay Extraction industry impact industry performance..

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    What's in this report

    What is the Gravel, Sand & Clay Extraction Industry?

    Firms in this industry operate gravel and sand pits, dredge sand and gravel offshore and mine clay and kaolin. The industry does not cover bituminous-sand mining.

    Industry Products
  • Sand
  • Clay
  • Gravel and crushed rock
  • Industry Activities
  • Extracting and dredging sand and gravel
  • Breaking and crushing gravel
  • Quarrying sand
  • Mining clay
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Total value of construction
  • Government capital expenditure
  • Demand from cement manufacturing
  • Demand from concrete construction product manufacturing
  • Demand from ready-mixed concrete manufacturing
  • Capital expenditure on dwellings

  • Current Performance
  • Volatile conditions
  • Governing growth
  • Profit performance
  • Chart: Revenue Growth

  • Industry Outlook
  • Low confidence
  • Government assistance
  • Recycled aggregates
  • Competition and profitability
  • Table: Gravel, Sand & Clay Extraction Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Gravel, Sand & Clay Extraction Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Paper & Paperboard Manufacturing
  • Ceramic Sanitary Fixtures Manufacturing
  • Cement Manufacturing
  • Road & Motorway Construction

  • Key Selling Industries
  • Fuels, Industrial Chemicals & Metals Agents
  • Mining, Construction & Civil Engineering Machinery Wholesaling

  • Products & Services
  • Gravel and crushed rock
  • Sand
  • Clay
  • Chart: Gravel, Sand & Clay Extraction Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Concrete and cement production
  • Road construction
  • Housing material production
  • Other manufacturing
  • Chart: Major Market Segmentation for the Gravel, Sand & Clay Extraction Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesTransportationUtilitiesDepreciationOther
  • Chart: Cost Structure Benchmarking – Sector vs Gravel, Sand & Clay Extraction

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Gravel, Sand & Clay Extraction Industry

  • Industry Globalization
    Tarmac Trading Ltd, Cemex UK Operations Ltd, Hanson Quarry Products Europe Ltd, Aggregate Industries UK Ltd,
  • Table: Tarmac Trading Ltd - financial performance
  • Table: Cemex UK Operations Ltd - financial performance
  • Table: Hanson Quarry Products Europe Ltd - financial performance
  • Table: Aggregate Industries UK Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Gravel, Sand & Clay Extraction Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Gravel, Sand & Clay Extraction Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Gravel
  • Particles larger than two millimetres in diameter.
  • Sand
  • Particles ranging in size from 63 microns to two millimetres.
  • Screening
  • A process using a series of wire screens with holes of diminishing size to separate particles of different size.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Gravel, Sand & Clay Extraction market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Gravel, Sand & Clay Extraction:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Gravel, Sand & Clay Extraction market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Gravel, Sand & Clay Extraction, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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