Saudi Arabia Construction Equipment Rental Market Forecast
2015-09-05 Posted By:Infrabazaar
The Saudi Arabia Construction Equipment Rental market is forecasted to grow at Compound Annual Growth Rate (CAGR) of over 12% during 2015-2020. There has been a growing preference for equipment rentals rather than purchases. To curtail increasing infrastructure spending construction companies are preferring construction equipment on rent. Few major factors that are propelling the construction equipment rental market in Saudi Arabia are cost cutting, save man power cost, save training cost and save cash on equipment purchase. Some construction equipments like excavator, crane and wheel loader dominates rental business in Saudi Arabia.
The country’s North- central and South- West regions comprising Riyadh, Madinah, and Mecca collectively accounted for a majority share in the country’s construction equipment rental market in 2015. While apart from major construction equipment rental companies such as Heavy Machinery Co. Ltd, Bin Quraya, Zahid Tractor and Industrial Supplies Development Co. Ltd the market has observed entry of various small unorganized companies.
In Saudi Arabia strong growth in construction rental equipment sector is fulfilling the demand of construction equipment requirement in Gulf countries. Saudi Arabia Kingdom is the largest construction market in the GCC region where growth of the construction activities are rapidly increasing, focusing of private and public participants to diversify into non- oil sectors. In next five years about 300 major infrastructure companies would be planning or executing various projects in Saudi Arabia. As a result of these increasing construction activities the demand of construction equipment rental market in Saudi Arabia is forecasted to grow. Wheel loaders, bull dozers, Cranes, excavators, telescopic handlers and motor graders are the prominent revenue generating segments in Saudi Arabia construction equipment rental market.
Although the article covers the construction rental equipment by the region. The article provides you fair and detailed analysis on the present ongoing trends, opportunities and high growth areas. These market drivers help in business to align their market strategies according to the present and future market dynamics.