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Manufacture Explosives Pyrotechnics Industry South Africa

Manufacture of Explosives and Pyrotechnics Industry in South Africa 2020

Yasmin Mahomedy | South Africa | 11 February 2020

Manufacture of Explosives and Pyrotechnics Industry in South Africa 2018

Yasmin Mahomedy | South Africa | 29 November 2018

Manufacture of Explosives and Pyrotechnics Industry in South Africa 2015

Amanda van der Westhuizen | South Africa | 20 October 2015

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Report Coverage

This report focuses on the manufacture of explosives and pyrotechnics and includes information on the state of the sector and the factors that influence it. There are comprehensive profiles of 11 companies in the sector. These include Omnia, whose BME division’s mobile mechanised emulsion pumps technology for underground blasting applications is enabling it to expand to international markets. Profiles also include DetNet, an electronic blast initiation specialist that installed a smart blasting system at the Wits Mining Institute.

Manufacture of Explosives and Pyrotechnics

The explosives market is largely dependent on the mining industry, which continues to struggle due to increasing costs, strike action, regulatory and operational challenges, and unstable electricity supply. The mining sector returned to profitability in 2019 due to higher commodity prices and a weaker rand. But declining production, high operation costs, and load-shedding are threatening the future of mines and mining industry output. The South African market for explosives is small and extremely competitive, and competition has forced down prices, resulting in lower margins. To increase their competitive edge, companies offer value-added services such as consulting and training for blasters.

Opportunities

Future opportunities for explosives suppliers lie in technology and services as mining moves from a deep level, labour intensive, conventional mining environment to a mechanised shallower, technologically-advanced industry. Demand for more cost-effective solutions remains high and the major explosive companies continue to focus on product enhancements that will lead to mine production improvements and blast optimisation. Innovation by some companies has led to international interest in underground blasting technology while other companies have been exploring opportunities outside South Africa. The major drivers for product development and innovation are safety and efficiency such as remote control systems at sites and autonomous vehicles.

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Manufacture of Explosives and Pyrotechnics Industry in South Africa 2020

Full Report

R 1 900.00(ZAR) estimated $100.20 (USD)*

Industry Overview

R 1 330.00(ZAR) estimated $ 70.14 (USD)*

Historical Reports

Manufacture of Explosives and Pyrotechnics Industry in South Africa 2018-11-29

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

Manufacture of Explosives and Pyrotechnics Industry in South Africa 2015-10-20

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Value Chain 2
2.2. Geographic Position 3
3. SIZE OF THE INDUSTRY 3
4. STATE OF THE INDUSTRY 4
4.1. Local 4
4.1.1. Corporate Actions 6
4.2. Regulations 6
4.2.1. Enterprise Development and Social Economic Development 7
4.3. Continental 8
4.4. International 9
5. INFLUENCING FACTORS 10
5.1. Mining Industry Activity 10
5.2. Economic Environment 10
5.3. Government Initiatives 11
5.4. Electricity Supply 11
5.5. Technology, R&D and Innovation 11
5.6. Labour 13
5.7. Environmental Concerns 15
6. COMPETITION 16
6.1. Barriers to Entry 16
7. SWOT ANALYSIS 17
8. OUTLOOK 17
9. INDUSTRY ASSOCIATIONS 18
10. REFERENCES 18
10.1. Publications 18
10.2. Websites 18
APPENDIX 1 20
Summary of Notable Players 20
COMPANY PROFILES 22
AECI MINING SOLUTIONS LTD 22
DENEL SOC LTD 25
DETNET SOUTH AFRICA (PTY) LTD 30
LION MATCH PRODUCTS (PTY) LTD 32
MAXAM DANTEX SOUTH AFRICA (PTY) LTD 34
MINOVA AFRICA (PTY) LTD 36
NXCO MINING TECHNOLOGIES (PTY) LTD 38
OMNIA GROUP (PTY) LTD 40
SASOL DYNO NOBEL (PTY) LTD 43
SOLAR MINING SERVICES (PTY) LTD 45
ZIMCO GROUP (PTY) LTD 47

Report Coverage

This report describes South Africa’s explosives and pyrotechnic manufacturing industry, its challenges and opportunities and factors influencing its success. It includes comprehensive profiles of 11 companies in the industry including major players – AECI’s AEL Mining Services, the Omnia Group’s BME and Sasol Explosives who collectively have a combined revenue market share of over 82%..

Manufacture of Explosives and Pyrotechnics

This report focuses on the manufacture of explosives and pyrotechnics. The explosives market is largely dependent on the mining industry, which is slowly recovering from the slump of the past few years. The value of the South African mining explosives industry increased from $12.9bn in 2014 to $14bn in 2017. Demand for more cost-effective solutions has prompted the major explosive companies to become more innovative in their product offerings. This has also opened up opportunities to diversify internationally. The top three market participants, namely AEL Mining Services, BME, and Sasol Explosives have a combined revenue market share of over 82%.

Growth Opportunities

The South African market for explosives is small and extremely competitive due to reduced mining activity, and competition has forced down prices of explosives. Explosives manufacturers have felt the effect of the mining industry slump, but mining of major commodities is gradually regaining momentum as global demand and prices slowly recover. This is expected to result in increased demand for blasting emulsions, detonators and accessories. While trading conditions have improved, the mining explosives industry is highly commoditised, and customer concentration and intense competition have made it difficult for explosive companies to maintain a competitive advantage. Rising mining production costs have opened opportunities for explosives manufacturers as mines look for cost effective smart blasting solutions which save energy consumption.

Read More..
Manufacture of Explosives and Pyrotechnics Industry in South Africa 2018

Full Report

R 1 900.00(ZAR) estimated $100.20 (USD)*

Industry Overview

R 1 330.00(ZAR) estimated $ 70.14 (USD)*

Historical Reports

Manufacture of Explosives and Pyrotechnics Industry in South Africa 2020-02-11

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

Manufacture of Explosives and Pyrotechnics Industry in South Africa 2015-10-20

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF THE INDUSTRY 1
2.1. Industry Value Chain 2
2.2. Geographic Position 3
3. SIZE OF THE INDUSTRY 3
4. STATE OF THE INDUSTRY 4
4.1. Local 4
4.1.1. Corporate Actions 6
4.1.2. Regulations 6
4.1.3. Enterprise Development and Social Economic Development 7
4.2. Continental 8
4.3. International 9
5. INFLUENCING FACTORS 10
5.1. Mining Industry Activity 10
5.2. Economic Environment 10
5.3. Government Intervention 10
5.4. Electricity Supply 10
5.5. Technology, Research and Development (R&D) and Innovation 11
5.6. Labour 12
5.7. Environmental Concerns 14
6. COMPETITION 15
6.1. Barriers to Entry 15
7. SWOT ANALYSIS 16
8. OUTLOOK 16
9. INDUSTRY ASSOCIATIONS 17
10. REFERENCES 17
10.1. Publications 17
10.2. Websites 17
APPENDIX 1 19
Summary of Major Players 19
COMPANY PROFILES 24
AECI MINING SOLUTIONS LTD 24
DENEL SOC LTD 27
DETNET SOUTH AFRICA (PTY) LTD 31
LION MATCH PRODUCTS (PTY) LTD 33
MAXAM DANTEX SOUTH AFRICA (PTY) LTD 36
MINOVA AFRICA (PTY) LTD 38
NXCO MINING TECHNOLOGIES (PTY) LTD 40
OMNIA GROUP (PTY) LTD 42
SASOL DYNO NOBEL (PTY) LTD 45
SASOL SOUTH AFRICA LTD 47
ZIMCO GROUP (PTY) LTD 50

Report Coverage

This report describes the current situation in the country, examines the increasingly competitive market and focuses on factors influencing the sector’s success. The report also profiles eleven companies, including Bulk Mining Explosives (BME) which is part of the Omnia Group, and the country’s leading explosives company, African Explosives Ltd (AEL) Mining Services, which held approximately 60% of the domestic market in 2013.

The Manufacture of Explosives and Pyrotechnics

This report focuses on the explosive and pyrotechnic manufacturing sector in South Africa, which has an estimated value of R5bn. Environmental and safety concerns as well as technological advancements are key drivers of innovation in this fiercely competitive industry.

A Challenging Market

Industrial action in the mining industry has had a negative impact on the explosives sector. During 2014 for example, market leader African Explosives Ltd (AEL) Mining Services reported that its explosives manufacturing business lost R170m as a result of strikes in that sector, with volumes of explosives and initiating systems sold to mining companies decreasing by 4% and 19% respectively. Another large consumer of explosives is the construction sector, also under pressure due to muted economic growth and the slow roll-out of government’s infrastructure plan, originally valued at R4-trillion over 15 years.

Looking at New Markets

In response to local market conditions companies have turned their attention to the mining and construction sectors in sub-Saharan Africa. Even though the International Monetary Fund’s Regional Economic Outlook downwardly revised its 2016 forecast for the region to 4.25%, growth in this region is still stronger than that in many other regions, and certainly that of South Africa where growth of 1.3% is forecast for 2016. A shift in company focus is also apparent, with the AECI group diversifying into higher-margin products such as water treatment chemicals and Omnia focusing more on its agricultural and chemical manufacturing divisions.

Read More..
Manufacture of Explosives and Pyrotechnics Industry in South Africa 2015

Full Report

R 1 900.00(ZAR) estimated $100.20 (USD)*

Industry Overview

R 1 330.00(ZAR) estimated $ 70.14 (USD)*

Historical Reports

Manufacture of Explosives and Pyrotechnics Industry in South Africa 2020-02-11

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

Manufacture of Explosives and Pyrotechnics Industry in South Africa 2018-11-29

R 1 900.00(ZAR) estimated $100.20 (USD)*

View Report Add to Cart

Table of Contents

[ Close ]
PAGE
1. INTRODUCTION 1
2. DESCRIPTION OF INDUSTRY 1
2.1. Industry Value Chain 2
2.2. Geographic Position 2
3. SIZE OF THE INDUSTRY 3
4. STATE OF THE INDUSTRY 7
4.1. Local 7
4.1.1. Regulations 9
4.1.2. Enterprise Development and Social Economic Development 10
4.2. Continental 10
4.3. International 12
5. INFLUENCING FACTORS 13
5.1. Economic Environment 13
5.2. Mining and Construction Industries Activity 13
5.3. Government Intervention 14
5.4. Raw Material Security 15
5.5. Uncertain Electricity Supply 15
5.6. Labour 15
5.7. Technology 17
5.8. Research and Development (R&D) and Innovation 18
5.9. Environmental Concerns 18
6. COMPETITION 18
6.1. Barriers to Entry 19
7. SWOT ANALYSIS 19
8. OUTLOOK 20
9. INDUSTRY ASSOCIATIONS 21
10. REFERENCES 21
10.1. Publications 21
10.2. Websites 22
COMPANY PROFILES 23
AEL HOLDCO LTD 23
DENEL SOC LTD 27
DETNET SOUTH AFRICA (PTY) LTD 33
LION MATCH PRODUCTS (PTY) LTD 35
MAXAM DANTEX SOUTH AFRICA (PTY) LTD 37
NXCO MINING TECHNOLOGIES (PTY) LTD 39
OMNIA GROUP (PTY) LTD 41
ORICA MINING SERVICES SOUTH AFRICA (PTY) LTD 44
SASOL DYNO NOBEL (PTY) LTD 46
SASOL SOUTH AFRICA (PTY) LTD 48
ZIMCO GROUP (PTY) LTD 53
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