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Southern Africa Construction Equipment Rental Market Study by Future Analysis & Growth Opportunities till 2024 | Adima Hire, Alistair Group, Altec, Anglo V3 Crane Hire, Atlas Crane Hire
Southern Africa Construction Equipment Rental Market
High investment and maintenance costs for the equipment is a critical driving force for the Southern Africa construction equipment rental market growth. The cost of material handling equipment is relatively high, that restricts manufacturers, businesses, and OEMs from implementing and procuring high-end automated systems. Rental companies are seizing the opportunity and are procuring high-end equipment to rent or lease them to SMBs.
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The development of advanced construction equipment with eco-friendly features and low maintenance will provide an alternative to legacy machinery in the coming years, thereby driving the Southern Africa construction equipment rental market. Purchasing machinery requires heavy down payments which avert a huge capital from key operating expenses and add extra expenditure in the form of insurance, licensing, interest on loan amount, storage cost, and tax, among others.
By renting the equipment, companies are able to avoid the costs associated with inflation and depreciation, which would otherwise be factored in during replacement. Rental companies upgrade their equipment fleets on a regular basis, thereby providing access to advanced and new equipment and making it easier for the leasing party to act in accordance with the international and regional rules and standards.
Southern Africa Construction Equipment Rental Market is expected to reach a revenue of over USD 3.5 billion by 2024 can be attributed to rapid urbanization and increasing government initiatives. Emerging economies in the region such as Mozambique and Zambia have shown sustained economic growth in sectors including manufacturing over the past few years contributing towards the market. The Government of Mozambique is investing in large scale infrastructure projects.
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Continued privatization rise in health & safety regulation and growing labor is providing an impetus to the Southern Africa construction equipment rental market growth. The growing preference of renting this equipment in industry verticals such as mining, and transportation will provide growth opportunities to the rental companies in the market.
The major companies operating in the Southern Africa construction equipment rental market include:
• Altec Inc.
• Atlas Crane Hire
• Babcock International Group PLC
• Barloworld
• Kanu Equipment
• Kemach Equipment
Rental companies are appointing experts to ensure that all services provided are of superior quality to facilitate service excellence, precision, and customer retention & satisfaction.
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