Rocky road: Mixed demand and performance have led to volatile revenue over the past five years

The Gravel and Sand Quarrying industry produces raw materials that are mainly used in glass and cement product manufacturing, and construction services. Improved demand from building construction and increased demand from road and bridge construction has positively influenced industry. However, declining demand from glass and glass product manufacturers has limited the industry's performance over the period. Additionally, reduced public sector spending on heavy industry and other non-building construction over the past five years has reduced sand and gravel demand from this market.Industry revenue is projected to increase at an annualised 2.4% over the five years through 2017-18, to reach $664.8 million. This growth rate includes a projected decline of 1.7%...read more.

Industry Statistics & Market Size
Revenue
$665m
Annual Growth 13-18
2.4%
Forecast Growth 18-23
Profit
Employment
1,866
Businesses
368

Industry Threats & Opportunities

  • The industry's moderate profitability is due limited competition offset by high input costs
  • Demand for sand and gravel from ready-mixed concrete manufacturers has declined
  • Housing construction trends will influence demand for sand and gravel over the next five years
  • Industry Report - Industry Key Buyers Chapter

    The Gravel and Sand Quarrying industry has a moderate level of concentration, with the four largest firms accounting for an estimated 60.8% of industry revenue in the current year. Industry concentration has declined over the past five years, due to Boral losing market share on volume falls and weaker pricing, and despite several major players expanding via acquisitions and the opening of new quarries. Most major players have Australia-wide operations, and each has a relatively large number of quarries. The major players each use or supply a substantial share of the sand and gravel from company-owned quarries for the manufacture of intermediate or secondary construction materials, such as concrete, asphalt, tiles or bricks...purchase to read more.

    Additional Insights for the Gravel and Sand Quarrying Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Gravel and Sand Quarrying Industry are

  • Proximity to key suppliers
  • Having contacts within key markets
  • Downstream ownership links
  • IBISWorld analysts also discuss how external factors such as Demand from construction services and Demand from glass and glass product manufacturing in the Gravel and Sand Quarrying industry impact industry performance..

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    What's in this report

    What is the Gravel and Sand Quarrying Industry?

    Industry firms operate sand and gravel quarries. Some industry firms also wash or screen the products recovered.

    Industry Products
  • Specialty sand
  • Gravel
  • Fine sand
  • Construction sand
  • Decorative pebbles
  • Silica sand
  • Industry Activities
  • Quarrying pebbles
  • Quarrying, washing or screening river gravel
  • Gathering ornamental rocks
  • Quarrying, washing or screening sand
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from construction services
  • Demand from glass and glass product manufacturing
  • Demand from ready-mixed concrete manufacturing
  • Domestic price of concrete, cement and sand
  • Road freight service price

  • Current Performance
  • Mixed manufacturing demand
  • Construction demand
  • Revenue and profit
  • Local focus
  • Chart: Revenue Growth

  • Industry Outlook
  • Residential dwelling expenditure
  • Investment trends
  • Low international trade
  • Table: Gravel and Sand Quarrying Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Gravel and Sand Quarrying Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Glass and Glass Product Manufacturing
  • Cement and Lime Manufacturing
  • Ready-Mixed Concrete Manufacturing
  • Concrete Product Manufacturing
  • Construction

  • Key Selling Industries
  • Commercial Vehicle Wholesaling
  • Mining and Industrial Machinery Wholesaling
  • Motor Vehicle Engine and Parts Repair and Maintenance
  • Road Freight Transport

  • Products & Services
  • Silica sand
  • Construction sand
  • Gravel
  • Fine sand
  • Specialty sand
  • Decorative pebbles
  • Chart: Gravel and Sand Quarrying Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Glass and glass product manufacturers
  • Construction services
  • Cement and concrete manufacturers
  • Export markets
  • Construction industries
  • Other sectors
  • Chart: Major Market Segmentation for the Gravel and Sand Quarrying Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Gravel and Sand Quarrying

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Gravel and Sand Quarrying Industry

  • Industry Globalization
    Boral Limited, Hanson Australia (Holdings) Proprietary Limited, Holcim (Australia) Holdings Pty Ltd, Adelaide Brighton Ltd,
  • Table: Boral Limited - financial performance
  • Table: Hanson Australia (Holdings) Proprietary Limited - financial performance
  • Table: Holcim (Australia) Holdings Pty Ltd - financial performance
  • Table: Adelaide Brighton Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Gravel and Sand Quarrying 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 and Sand Quarrying Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)
  • Sand and Gravel Output (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Decorative Pebbles
  • Up to 64 millimetres in diameter, decorative pebbles are often quarried from rivers and used for ornamental landscaping purposes.
  • Gravel
  • Naturally occurring rock fragments or pebbles, up to about 64 millimetres in diameter.
  • Menage Sand
  • Very fine, washed and processed sand for specialist uses.
  • Quarrying
  • The extraction of sand, stone, rock and construction materials from an open pit or surface quarry.
  • Sand
  • Particles of mineral material, primarily quartz, up to 5 millimetres in diameter.
  • 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 and Sand Quarrying market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    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 and Sand Quarrying:
    • 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 of 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 and Sand Quarrying 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 and Sand Quarrying, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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