Press release
Construction in Iran Market: Industry Size, Share, Growth, Forecasts to 2021
The objective of this report is to define, describe, and forecast the market on the basis of type, application, medical condition, and region. It provides detailed information regarding the major factors influencing the growth of the market. This report also tracks and analyzes competitive developments of the key players in terms of market developments, product portfolios, and financials.Acute Renal Failure Market: Industry Size, Share, Growth, Forecasts.
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In real terms, the Iranian construction industrys output declined by 14.9% in 2016, measured at constant 2010 US dollar exchange rates. This was preceded by an annual decline of 16.1% in 2015, 13.0% in 2014, and 10.4% in 2013. This decline can be attributed to the fall in crude oil prices and slowdown of the economy over the period. Moreover, high unemployment, inflation and low domestic production during the review period (20122016) contributed to this decline.
The industry is expected to recover over the forecast period (20172021), backed by the removal of international sanctions and a rise in oil production and exports. In 2015, Iran and the P5+1 countries the US, China, France, Russia, the UK and Germany signed the Joint Comprehensive Plan of Action (JCPOA). Under this plan, the P5+1 countries placed restrictions on Iranian nuclear activities, and in return agreed to establish normal trade activity and economic relations with Iran.
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Moreover, a rise in building permits for the construction of residential and non-residential buildings in the country is expected to support the industrys growth over the forecast period. Total construction permits issued in urban areas increased by 12.1% in FY20162017, going from 101,500 units in FY20152016 to 113,800 units in FY20162017.
The industrys output value in real terms is expected to rise at a compound annual growth rate (CAGR) of 2.0% over the forecast period; compared with -13.7% during the review period.
Summary
Timetrics Construction in Iran Key Trends and Opportunities to 2021 report provides detailed market analysis, information and insights into the Iranian construction industry, including:
The Iranian construction industry's growth prospects by market, project type and construction activity;
Critical insight into the impact of industry trends and issues, and the risks and opportunities they present to participants in the Iranian construction industry;
Profiles of the leading operators in the Iranian construction industry.
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Scope
This report provides a comprehensive analysis of the construction industry in Iran. It provides:
Historical (2012-2016) and forecast (2017-2021) valuations of the construction industry in Iran using construction output and value-add methods
Segmentation by sector (commercial, industrial, infrastructure, energy and utilities, institutional and residential) and by sub-sector
Breakdown of values within each project type, by type of activity (new construction, repair and maintenance, refurbishment and demolition) and by type of cost (materials, equipment and services)
Detailed profiles of the leading construction companies in Iran
Reasons To Buy
Identify and evaluate market opportunities using Timetric's standardized valuation and forecasting methodologies.
Assess market growth potential at a micro-level with over 600 time-series data forecasts.
Understand the latest industry and market trends.
Formulate and validate strategy using Timetric's critical and actionable insight.
Assess business risks, including cost, regulatory and competitive pressures.
Evaluate competitive risk and success factors.
Key Highlights
Timetric expects the infrastructure construction market to grow at a forecast-period CAGR of 15.95% in nominal terms, driven by governments investment in transport infrastructure. In June 2017, under the sixth Five-year Development Plan (20172021), the government announced plans to develop six dry ports in Mashhad, Tabriz, south-eastern Sistan-Baluchestan province and the Aprin train station by 2022. For this, the government plans to invest IRR3.07.0 trillion (US$80190.0 million) with the help of private investors.
The Swiss government signed a IRR25.0 million (US$772.9 billion) contract with the Islamic Republic of Iran Railways to develop related infrastructure for dry ports in June 2017. Additionally, the government is planning to invest IRR228.6 trillion (US$8.0 billion) to construct new terminal spaces at 27 airports by 2025.
In order to provide a fast and reliable transport system to its citizens, in 2016, the government announced plan to invest IRR43.3 trillion (US$1.4 billion) to develop metro rail infrastructure, with an aim to run 4,000 metro trains by 2025.
Timetric expects that the governments plan to increase oil production capacity is expected to spur the growth of energy and utility construction market over the forecast period. The government plans to increase oil production capacity from 3.73.9 million barrels per day in 2016 to 4.74.8 million barrels per day by 2022, with an aim to boost exports by 500,000 barrels per day by 2021. Consequently, in July 2017, the government signed a deal worth IRR162.0 trillion (US$5.0 billion) with Frances oil company, Total SA, and Chinas state-run company, China National Petroleum Corporation (CNPC), in order to develop the South Pars offshore field.
Under Irans sixth Five-year Development Plan 20172021, the government aims to improve the depleted medical infrastructure of the country. Under this plan, it aims to develop at least 2.6 hospital beds for each 1,000 residents in the country. Consequently, with an investment of IRR463.7 trillion (US$15.0 billion), the government plans to construct 20 mega general hospitals across the country by 2020.
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