Growth in Construction and Real Estate is Expected to Boost Excavator Market: KenResearch
Increased
demand for real estate supported with investment in infrastructure development
to support economy growth will create additional demand for excavators.
Philippines
excavator market is expected to grow at a CAGR of 8% to 2020 on the back of increasing
demand for houses by growing middle class, office space by rising service
industry especially BPO sector and investment from government in developing
infrastructure.
In 2015, majority
of market share is captured by five major manufacturers of excavators. They
have their exclusive distributors at all the three major islands of the
Philippines including Luzon (Manila), Visayas (Cebu city), and Mindanao (Davao
city), which provide them accessibility to major customers in the market. Most
of these distributors are in sale of new excavator and also offers rental
services. Rental market is majorly driven by small rental companies who are
spread across all major islands in the Philippines serving the needs of small
contractors and Small and Medium Enterprises (SME). There is need for increased
activity by construction and rental association to get more number of
contractors and rental companies under its umbrella to increase networking and
create new business opportunities for use of excavators.
Increased
demand by small contractors and SME’s involved in developing real estate sector
for rising middle class and Overseas Filipino Worker (OFW) is also expected to
fuel the demand for excavators during the forecast period. Demand for office
space by Business Process Outsourcing (BPO) sector and houses by emerging
middle class are other prominent reason which is expected to increase the use
of excavator in the country. Increased investment in infrastructure development
will also augment excavator market.
Increased
current and expected future demand for housing and infrastructure will boost
excavator market in future attracting major players to increase their
geographic presence and entry of new players. Cheap labor and manufacturing
benefits from government may attract setting up of manufacturing unit by some
manufacturers. Increased competition to gain market dominance will make
excavators more price competitive benefiting end users in both sales and rental
market. Government commitment to reduce GHG emission will lead to stricter
emission norms and demand for fuel efficient and hydraulically more advanced
excavator will sale of new excavators.
The report
titled “Philippines Excavator Market Forecast to 2020 – Growing
Construction Activities and Demand for Real Estate to Shape Future Potential” provides detailed overview on the Philippines
Excavator Market and helps readers to identify the ongoing trends in the market
and anticipated growth in future depending upon changing market dynamics in
coming years. The report will help existing distributors, manufacturers and
rental companies along with end users in construction, mining and real estate
sector to align their market centric strategies according to ongoing and
expected trends in the future.
For more
information on the report scope, list of figures, tables and methodology, refer
to below link:
Contact:
Ken Research
Ankur Gupta, Head Marketing & Communications
query@kenresearch.com
+91-124-4230204
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