According to marketwatch, the global limestone market is expected to grow strongly at a compound annual growth rate of 6.02% between 2022 and 2028.
The main growth driver of this market is the growing demand for cement in the construction sector. With massive investment in the construction and infrastructure sectors worldwide – driven by the policies of emerging government governments – the demand for cement and construction is increasing day by day.
Emerging economies in Southeast Asia are experiencing strong demand for infrastructure projects, which in turn is driving demand for housing, construction materials and related services. The recovery of the European construction industry is also causing limestone to “sell out” in the future.
However, there are still factors hampering growth momentum, such as the slowing growth rate of major economies such as China. Damage to structures and statues caused by acid rain (especially to products made from limestone) has reduced its popularity in residential buildings.
India is the largest importer of limestone, with a market share of 48%, followed by Japan, Korea, Germany and the Netherlands. The demand for paper in India is expected to grow steadily in 2020, due to the packaging industry and the growing number of schools. The increasing number of construction projects is expected to prosper the construction industry in India. This figure is expected to contribute about 10% to India’s GDP.
In addition, the consumption of calcium carbonate in India is also expected to increase as India’s pharmaceutical, food and beverage industries grow.
The advantage of Vietnam
According to aggregated data from the OEC site (of the Massachusetts Institute of Technology, USA), Vietnam will be the world’s second largest exporter of limestone in 2020. Specific exports include: United Arab Emirates ($333 million), Vietnam ($90.2 million), Japan ($73.1 million).
A study between Vietnamese and Korean experts shows that there is a lot of room for developing limestone cooperation between the two countries. Accordingly, Korea’s land area is quite small, so its natural mineral resources are somewhat limited. Significant mineral reserves such as zinc, anthracite, gold, iron ore, silver, graphite, tungsten and lead,… account for two-thirds of the total mineral reserves in Korea.
Meanwhile, Vietnam has quite rich limestone resources. There are 4 major limestone quarries mentioned in the study, namely Hai Phong, Ninh Binh, Nghe An and Kien Giang. In quantity, Vietnam’s high-quality limestone reserves are about four times greater than South Korea’s. In addition, the distribution of limestone in Vietnam is 3 times greater than that in Korea.
The limestone of Vietnam covers 50,000-60,000 km2 of the continent, equivalent to 20% of the territory of Vietnam. There are limestone areas that make up half of the area, including Ninh Binh (53.4%), Cao Bang (49.5%), Tuyen Quang (49.9%) and Ha Giang (38.0%). † In particular, areas such as Mai Chau (Hoa Binh Province), Moc Chau, Son La (Son La Province), Tua Chua, Tam Duong (Lai Chau Province), Dong Van, and Meo Vac (Ha Giang) are complete regions of limestone. Most of the limestones in Vietnam are of biochemical origin.
Vietnam is rich in high quality limestone reserves. To date, there are more than 350 limestone quarries in Vietnam. So far, 274 limestone quarries have been explored and the reserve is estimated at 47.5 billion tons. There are also 82 dolomite mines, 37 of which have been explored.
However, large mines with abundant reserves still hide Vietnam’s undeniable potential in the context of the increasing use of limestone in the future. With the right strategies, Vietnam is fully capable of seizing the opportunity to make the most of its limestone advantages.
Source: CafeF
