Growth Factors and Drivers in FRP Pipes Manufacturing

In manufacturing we are always on the lookout for a better material, one that can withstand any environmental condition, is flexible enough to be shaped as we want, is durable and gives us good value for money. FRP products tick all these boxes. This is why it has been a hugely popular product ever since manufacturers found a way to mass produce it in an economic manner.

One of the most commonly found FRP product is the pipe. FRP pipe manufacturers supply to a range of fields, from industrial to construction. It has also emerged as one of the most favored alternative in these fields, slowly overtaking more conventional material like steel and aluminum. This is despite the fact that FRP can be more expensive than these metals.

Growth in FRP Market

Experts in India predict a robust growth for FRP pipes in India. This is a simple echo of the global upward trend. The global industry is expected to grow at a CAGR of 3.1% in the 2015-20 time periods. The trend continues despite the recent slowdown in the global marketplace. The recovery of international market is only expected to boost it further.

The dominating end use industries in the FRP pipe manufacturing sector will be:

1. Oil & Gas industry
2. Retail Fuel
3. Water distribution
4. Wastewater management
5. Chemical/Industrial products
6. Pulp and Paper

As we can see most of the industries mentioned here deal with corrosive elements, such as oil, seawater and wastewater. In such areas FRP pipes are often the only viable alternative. Other materials like steel and aluminum do not have the corrosion resistance property or the durability. 

Globally, the major market for FRP pipes remains North America. It is followed by Europe and then the Asia Pacific region. However, the biggest boost in growth will come from Asia Pacific region which will soon lead the demand in FRP market. This is mostly because the region contains a number of emerging economies, which are engaged in furious industrialization and development of their infrastructure. Both these activities drive their FRP demands.

Drivers of growth

As mentioned above, growth in FRP pipe manufacturing seems linked to infrastructural and industrial growth.

Demand for better water distribution:

As a number of economies worldwide are now emerging, the demand within their population for better water distraction is inevitable. Coupled with this is the increasing health awareness. Consequently, governments are looking for pipes that are durable, can withstand constant water passage, underground conditions and be strong enough the supply. FRP pipes fit the bill perfectly.

Development of wastewater management:

Along with better water distribution, the need for effective and efficient wastewater management has also increased. In India alone there are a number of wastewater plants under construction. FRP pipes are often the only option for carrying the highly toxic wastewater.

Shale gas exploration:

Gas exploration again requires the transfer of oil and other natural extracts in liquid or viscous form. The challenge here is the high corrosive nature of the liquid. Even highly corrosion resistant materials slowly deteriorate over time. Hence, FRP pipes are often the only option available. With the rise in demand for natural gas, the demand for FRP pipes will also go up. 

Expanding offshore oil and gas industry:

Rising global demand for oil is driving up the expansion of offshore oil and gas industry. Here the FRP offers the only viable long-term solution not just because of the corrosive effects of oil and gas, but also because of the seawater that adds to the highly corrosive environment.

While the demand for water and wastewater management is driven by the developing economies of the Asia-Pacific region, the demand in oil exploration usually comes from North America and the Middle East. Apart from these factors the increasing urbanization and construction activities across the world are also adding to the rise in demand for FRP pipes.

Efforts by the FRP pipe manufacturers, such as introduction of onsite FRP pipe manufacturing facilities, lowering production costs and increasing customization has further added to the demand for FRP pipes. Many manufacturers are now also focusing on the rehabilitation of FRP pipes to lower its environmental impact.

Conclusion

With increasing urbanization and the ever increasing demand for oil and gas, FRP pipe manufacturers will continue to see robust growth.