Gypsum -Global Market

Key factors affecting the Global Gypsum Market Growth

In the upcoming years, the key factors specified below expects to affect the industry growth and use of gypsum in different end-use applications:

• Diversification
• Durability
• Regulatory trends
• Recycling and sustainability
• Regional trends
• Prefabrication.

Diversification

 New demands in construction will lead to the developing of gypsum products and see companies diversify their product portfolios. This will create a price premium for higher-performance products that offer superior durability and environmental performance. At the top of the market, there will be some scope for plasterboards with smart functionality, such as monitoring moisture content.

Durability

 End users will demand more durable gypsum products to resist impact and water damage in response to more demanding building regulations. Therefore this will require refinements in gypsum production to optimise these products.

Regulatory trends

The International Energy Conservation Code (IECC) and International Green Construction Code (IgCC)will directly impact the plasterboard’s future potential. Of course similar codes are there in other countries too. A change in the building code often is a catalyst for innovation and product development. Laws in many jurisdictions will require closer monitoring of materials used in construction. This will require closer monitoring of supply chains and exact disclosure of product composition.

The energy codes have fostered product development as there is now a requirement for the exterior walls to incorporate an air barrier. Environmental regulations are also having a big effect on the market. Concern over greenhouse gas emissions and global climate change is forcing the market to consider greener options.

Recycling and sustainability

There is increasing pressure to recycle building products after their useful life. Part of the pressure comes from end-use influencers, architects, and part of it is regulation changes on how much material can be landfilled. As a result, a new industry is rising around the recycling of gypsum, specifically plasterboard products. Some plasterboard manufacturers are promoting program to recycle plasterboard products that went to construction sites.

Government regulations and green building initiatives will develop a catalyst for distributors to explore value adding services that divert used gypsum from land filling. Clearly the main focus will be for greater emphasis on gypsum recycling and its conversion into a new form of construction materials. In the US, standards are being developed to help guide the practice of recycling. However these guidelines include defining what materials undergo recycling, how to segregate the waste at construction sites and the proper marking for these materials.

Regional trends

 Many transition economies will see more demand for gypsum as urbanization is booming and adopt plasterboards as an alternative to wet construction techniques employing cement and plaster. The adoption of plasterboard in developing countries is truly gaining traction. Countries that traditionally used wet trades (plaster, cement) and technology are moving more and more into plasterboard construction. When a new product is introduced into a region, it is typically manufactured elsewhere and imported to the new market. As the supply chain to support local production simply does not exist at an early stage. As the product becomes established, so does demand, creating the impetus for local production.

Italy is a good example of this in that for many years, and it did not have any local plasterboard manufacturing facilities.

Panelisation for prefabrication

The desire to reduce construction time while increasing quality has led to a renewed emphasis on panelisation. As builders continue to move towards greater pre fabrication and panelisation, gypsum suppliers require to develop plasterboards and other products that can be adapted to these construction methods. Small companies are emerging that specialize in panelizing specific components on commercial projects. Forward-thinking contractors are setting up divisions simply focused on panelisation. While penalization is nothing new, what is driving it is incorporating building information modelling (BIM) into the process.