Dolomite Is Estimated To Witness High Growth Owing To Opportunity Of Increasing Infrastructure Development
Dolomite Market
Dolomite is a carbonate mineral consisting of calcium magnesium carbonate. It
is commonly found in sedimentary deposits known as dolostone rock formations.
Dolostone and dolomite are sought after for uses as an ornamental stone, a
concrete aggregate, and a source of magnesium oxide. With rapid infrastructure
growth and industrialization, the demand for construction materials is
increasing significantly around the world.
The
global Dolomite Market is estimated
to be valued at Us$ 3,558.29 Mn in
2023 and is expected to exhibit a CAGR Of
8.4% over the forecast period 2024
To 2031, as highlighted in a new report published by Coherent Market
Insights.
Market Opportunity:
The increasing infrastructure development is one of the key opportunities
fueling the growth of the dolomite market. Rapid urbanization and growing
population have boosted the construction of roads, bridges, buildings, and
other infrastructure projects globally. Dolomite finds wide application in
construction due to its excellent concrete aggregate properties. It enhances
the workability, pumpability, and durability of concrete structures. Moreover,
with rising investment in transport infrastructure like highways, metros, and
rapid transit systems, the demand for aggregates like dolomite is increasing
substantially. Majority of emerging economies are focusing on infrastructure
development to improve connectivity and drive economic growth. This rising
infrastructure development is expected to propel the demand for dolomite during
the forecast period.
Porter’s Analysis
Threat of new entrants: Low economies of scale in the production of dolomite
makes the threat of new entrants moderate. However, the requirement of high
capital investments for new mining projects and availability of sufficient resources
with existing players pose as entry barriers.
Bargaining power of buyers: Buyers have moderate to high bargaining power due
to availability of substitutes and undifferentiated nature of dolomite.
However, switching costs to alternative materials would provide some bargaining
power to existing dolomite suppliers.
Bargaining
power of suppliers: The dolomite market has numerous suppliers globally with no
single major supplier controlling the overall dolomite market. This makes
supplier power weak.
Threat of new substitutes: There exists threat from substitute materials for
various dolomite end uses like calcium carbonate, limestone, magnesium
carbonate etc. depending on application. This poses moderate threat.
Competitive
rivalry: The dolomite market has high competition due to large number of
regional and global players. Intense competition keeps pricing low and forces
competitors to differentiate based on quality, reliability and performance.
SWOT Analysis
Strengths: Abundant availability of resources, wide applications, competitive
pricing.
Weaknesses:
Undifferentiated offerings, environmental concerns around mining.
Opportunities:
Rising construction activities, growth in steel and ceramics industries, scope
for capacity expansions and vertical integration.
Threats:
Substitute threats, volatile prices of raw materials, stringent regulations.
Key Takeaways
The Global Dolomite Market Demand is expected to witness high growth over the
forecast period of 2024 to 2031 on account of rising steel production and surge
in construction activities globally. The global dolomite market is estimated to
be valued at US$ 3,558.29 Mn in 2023 and is expected to exhibit a CAGR of 8.4%
over the forecast period 2024 to 2031.
Regionally,
Asia Pacific holds the major share currently attributed to high economic
growth, heavy investments in infrastructure and increasing industrialization in
China, India. Key players are focusing on geographical expansions and capacity
expansions to leverage opportunities.
Key players operating in the dolomite market are STMicroelectronics NV, Bosch
Sensortec GmbH, ABB Group, Siemens AG, OMRON Corporation, Texas Instrumental
Incorporated, Drägerwerk AG & Co. KGaA, Samsung Electronics Co Ltd,
International Sensor Technology, DENSO Corporation, NXF Semiconductors,
Honeywell International Inc.
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