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Construction Recovery Supports the Southern African Paints and Coatings Market Finds Frost & Sullivan - New analysis from Frost & Sullivan, Southern African Paints and Coatings Market, finds that the market earned revenues of $603.0 million in 2009 and estimates this to reach $765.3 million by 2016
Construction Recovery Supports the Southern African Paints and Coatings Market Finds Frost & Sullivan

 

PRZOOM - /newswire/ - Cape Town, South Africa, 2010/07/19 - New analysis from Frost & Sullivan, Southern African Paints and Coatings Market, finds that the market earned revenues of $603.0 million in 2009 and estimates this to reach $765.3 million by 2016.

   
 
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The paints and coatings market is primarily driven by the construction sector. The South African construction industry slowed down drastically during 2008 and 2009 due to the economic crisis, but started to recover gradually in the third quarter of 2009. However, Namibia and Zambia, are now witnessing a rise in construction activities.

New analysis from Frost & Sullivan (chemicals.frost.com), Southern African Paints and Coatings Market, finds that the market earned revenues of $603.0 million in 2009 and estimates this to reach $765.3 million by 2016. The products covered in this analysis include decorative coatings, automotive and refinish coatings, industrial protective coatings and other coatings.

If you are interested in more information on this study, please send an email to Patrick Cairns, Corporate Communications, at patrick.cairns[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country.

"The building industry and the growing automotive sector are stepping up the demand for decorative paints and automotive coatings in Southern Africa," says Frost & Sullivan Research Analyst Dilshaad Booley. "The decorative paints segment accounts for more than 50 per cent of the total paints and coatings market in Southern Africa."

During the economic crisis, the construction industry saw very few building projects being commissioned, while the automotive sector declined dramatically. However, Southern Africa has many infrastructural opportunities and governments have taken initiatives to provide enhanced and greater infrastructure by commissioning building projects themselves.

However, the paints and coatings market in Southern Africa is highly fragmented with low barriers to entry. Several small paint manufacturers are establishing themselves in the market, thus increasing the competition and range of brands available.

"For local manufacturers, having to import large amounts of raw materials increases the manufacturing costs, making way for the import of cheaper paints and coatings, creating added competition and price sensitivity," notes Booley. "However, the starting capital to manufacture decorative paints is low, easing market entry and increasing competition among local manufacturers."

Local manufacturers should establish good customer relations and offer a wide range of cost-effective products to successfully maintain and develop their market share.

"In an attempt to widen the market demand, manufacturers and distributors should educate consumers about the benefits of purchasing superior quality paints," concludes Booley. "Although quality paints cost more, they save the consumer from having to recoat more often."

Southern African Paints and Coatings Market is part of the Chemicals & Materials Growth Partnership Services programme, which also includes research in the following markets: South African Chemical Solvents Market and South African Market for Agricultural Chemicals. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from 40 offices on six continents.

Southern African Paints and Coatings Market / M56A

 
 
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Construction Recovery Supports the Southern African Paints and Coatings Market Finds Frost & Sullivan

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Contact: Patrick Cairns 
+27 18 464 2402 patrick.cairns[.]frost.com
 
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