A new market research study by Technavio on the global mining drills market shows that the market is anticipated to register a growth of CAGR of more than 3 per cent during the period 2017-2021.
Applications and products are the two categories that the global mining drills market has been divided into for the research report. The application category comprises of mining drills and underground mining drills and the product category includes hydraulic breakers, rotary drills, crawler drills, and rock breakers. Analysis of the key geographic areas – like APAC, the Americas, and EMEA, are also detailed in the market research report.
During the period of the forecast, there is anticipated growth in the demand for precious metals that includes platinum, gold, and diamond, says the report. Additionally, there are expectations of a strong global economy during the forecast period as the pre-crisis levels prices are expected to be reached by crude oil according to the World Bank estimates. There would consequently be enhancement in disposable income as there is expected to be high rates of employment across various countries driven by the strong global economy.
According to Gaurav Mohindru, a lead analyst at Technavio for construction research, “Increasing disposable incomes are anticipated to drive the demand for gold and silver, especially among the growing middle-class urban population. Most of this demand is expected to arise from developing nations, such as China and India, where the middle-class population is expected to grow substantially.”
The report states that creation of new strategies and mining practices can help the mining industry to become more environment-friendly. Those strategies and practices also need to be implemented successfully at work sites for the reduction of spread of negative environmental impacts resulting from mining operations. This can be achieved through the adoption and use of mining equipment that throws out less harmful particles into the environment. This should be the main mining strategy for the mining industry to reduce the environmental impact of its business activities, states the report. There is increasing pressure among mining companies to adhere to the strict emission norms and to reduce costs of operations and this is the factor that would enhance the demand for energy-efficient mining equipment, the report said.
However, the demand for new mining drills could get reduced due to the trend of enhanced use of rental mining equipment. The overall sale of new mining drills will be impacted by growing practice among the mining countries of renting mining equipment which would decrease their intention purchasing new mining drills. Market growth would also be severely impacted by enhanced dissemination of the trend of rental mining equipment market, especially in the emerging economies like that of China and India where mining activities are anticipated to gather momentum.
(Adapted from Businesswire.com)