Middle-East and Africa Gypsum Board Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The Middle-East and African gypsum board market is estimated to witness significant growth, at an estimated CAGR of over 5.75%, over the forecast period (2022-2027).

The COVID-19 pandemic had negatively affected the market. However, the market has now been estimated to have reached pre-pandemic levels.

Key Highlights

• Rising construction activities in Saudi Arabia and booming tourism in the Middle Eastern countries are the major factors driving the market in the region.
• The growing awareness of energy efficiency policy toward Middle-Eastern region buildings is likely to act as an opportunity in the future.
• South Africa dominated the market across the region with the largest consumption with almost 30% share.

Key Market Trends

Ceiling Boards to Dominate the Market

• Gypsum ceiling boards are designed for application on interior ceilings, suitable for both residential and commercial buildings, primarily those intended to receive a water-based texture finish.
• Ceiling boards are interior surfacing materials with the same physical appearance as the gypsum wallboard.
• Fire-resistant ceiling boards are used in the kitchen areas, and water-resistant ceiling boards are used in the top floor ceiling applications.
• These boards reduce VOC levels and reverberation time and improve speech intelligibility in a given room. Other advantages include reduced weight, shear resistance, fire resistance, dimensional stability, specified lengths, etc.
• Some of the major manufacturers of gypsum ceiling boards are Mada Gypsum, Saint-Gobain Gyproc, USG Boral, etc.
• Hence, ceiling boards are expected to dominate the market.

Saudi Arabia to Dominate the Market

• Saudi Arabia announced Vision 2030 program in April 2016. The program is likely to empower the nation to be less dependent on oil exports and production through increased tourism and foreign investments.
• However, due to the COVID-19 pandemic that has infected approximately 60,000 people in the country, the government announced a cut of USD 8 billion for 2020. This is a direct result of the severe lockdown that the country has witnessed, which reduced production across various sectors countrywide.
• The market openness and investment opportunities in Saudi Arabia are moderate as compared to the other emerging economies. However, the government, in its 10th development plan, is reforming the economic policies with investments in diversified sectors.
• The country is embarking on a large number of residential and commercial projects, which are expected to increase the construction activities in the country. Moreover, the government and private investments in different sectors of the country led to a rise in the industrial and commercial building and construction activities in the country.
• Saudi Arabia registered a 13% year-over-year (Y-o-Y) growth, which was influenced majorly by the urban and industrial constructions. The urban construction sector is the largest contributor to the construction sector’s expansion, with 3,727 active projects valued at USD 386.4 billion.
• In Saudi Arabia, according to Major Building Expo in Riyadh, the construction industry is poised for tremendous growth over the next five years, with 700 new projects set to be launched in the coming months and targeted for completion by 2022.
• Thus, based on the aforementioned factors, Saudi Arabia is expected to dominate the market.

Competitive Landscape

The Middle-East and Africa gypsum board market is partially consolidated, with the top five players accounting for more than 50% of the market. The major companies include Knauf Gips KG, Saint-Gobain, Gypsemna, Mada Gypsum Company, and National Gypsum Company, among others.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

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