The report, published by Transparency Market Research and titled, "Geotextiles and Geogrids Market in UAE and GCC," says the GCC geotextile market, excluding UAE, was valued at $101.2 million in 2012 and is expected to be $200.5 million by 2019, growing at a CAGR of 10.3% from 2013 to 2019. In terms of volume, the demand was 52 million square meters in 2012 and is expected to be 86.8 million square meters by 2019, growing at a CAGR of 7.6% from 2013 to 2019.
The UAE geotextile market was valued at $27.8 million in 2012 and is expected to be $52.2 million by 2019, growing at a CAGR of 9.4% from 2013 to 2019. In terms of volume, the market was 13.5 million square meters in 2012 and is expected to be 22 million square meters by 2019, growing at a CAGR of 7.3% from 2013 to 2019.
Geotextiles are often used to perform various functions, such as soil reinforcement, separation, drainage, filtration and protection.
Nonwovens were the largest product type within the geotextile market segment and accounted for over 65% of the market share in 2012 due to its extensive use in drainage sub-systems and road construction. Increasing infrastructural activities in GCC countries, particularly road and drainage systems, is expected to drive the demand for nonwoven geotextiles over the next few years. It is expected to witness the fastest growth in this region within the forecast period.
Road construction and erosion control were the largest application segments of geotextiles in GCC (including UAE), accounting for over 60% of the market share in 2012. Erosion control is expected to be the fastest growing segment within the forecast period on account of growing infrastructure development such as roads, drainage systems and commercial and non-commercial construction. Demand for geotextiles in erosion control in UAE is expected to grow at a CAGR of 7.9% from 2013 to 2019.
Implementation of the mega-project Gulf Railway, which is to connect all the countries present in the GCC by 2017, is expected to be one of the primary factors driving the demand for geotextiles. In addition, gigantic road development projects are expected to play a significant role in the growth of the market.
However, fluctuating costs of key raw materials, such as polypropylene and polyester on account of depleting petroleum reserves is expected to hamper the growth of the market over the next few years. Rising consumer awareness regarding advantages of natural geotextiles is expected to open new opportunities for the growth of the market over the next few years.