Bamboos Market: Global Industry Analysis 2012-2016 and Opportunity Assessment 2017-2027

APAC is growing significantly both in terms of volume and value in the Global Bamboos Market owing to the significant production and consumption of bamboos across various end-use industries such as pulp & paper, construction, wood and furniture, etc., in India, China and other ASEAN countries. China has the maximum number of bamboo species in the world, followed by India and other countries. The export of bamboo flooring from China to the world accounted for about 90% of the world exports of bamboo flooring in 2012. APAC is expected to account for more than 2/3rd share of the global bamboos market by the end of 2017. APAC is projected to create a total incremental $ opportunity of close to US$ 5000 Mn between 2017 and 2027 and is projected to be the most attractive region in the global bamboos market over the forecast period.
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Bamboo is a versatile multi-purpose forest produce that plays a vital role in the world’s domestic and industrial economies. Bamboo and bamboo-based products are used for a wide range of indoor and outdoor applications owing to their abundance and versatility. Bamboo is one of the highly renewable resources in the Indian socio-economic-cultural-ecological-climatic-functional context with more than 1,500 recorded uses. Besides its role as a material for consumer products, it also has great potential as an industrial raw material. Various industrial applications of bamboos include food production, wood substitute, pulp and paper, handicrafts, medicinal products, cottage industries, and charcoal production. Bamboo is often considered to be a replacement of wood and industrial raw materials in both modern industrial and traditional cottage sectors. All these factors are positively contributing to the growth of the bamboos market in APAC.

There are significant health benefits associated with bamboo products that fuel the growth of the bamboos market in the APAC region. Due to its unique composition, it is naturally desired for its health benefits. Bamboo shoots help in reducing the risk of cancer and strengthening the immune system. Bamboo assists in weight loss and is very effective to combat respiratory diseases. It is also useful in curing snake and scorpion bites.

Changing regulations in the forest sector coupled with inadequate supply and an expensive labour force likely to hamper the growth of the bamboos market in APAC

Bamboos have immense potential to transform the rural/tribal economy of India and contribute to the sustainable development efforts of the country. However, it is governed by a web of forestry laws and policies and there are serious restrictions on its harvesting, farming and transportation. These governmental laws and regulations along with the policies on ownership of resources and security as well as a lack of institutional mechanisms have made it difficult for Indian citizens to unlock the value of its abundant sources. There are various regulations in India such as the Indian Forest Act, Forest Conservation Act, Forest Rights Act, etc., which are expected to act as restraints in the APAC bamboos market revenue growth.

The bamboo industry in Japan has faced several challenges over the recent years, including insecure supply owing to expensive labour and seasonal employment and weak competitive power in the domestic and global bamboos market, mainly due to high labour cost and the shortage of successors in the ageing society. High labour cost is considered to be the direct reason of problems in the bamboos industry in APAC.
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The pulp and paper industry in India and China is among the most established industries growing at significant rates. India is the fastest growing market for paper in the world. The paper industry is growing in the country, mainly due to a favourable government excise policy, increased government spending on education and improved activity from print media, FMCG, and pharmaceutical sectors. Pulp and paper and textile segments together are pegged to account for about half the APAC bamboos market over the forecast period. The pulp and paper segment in the APAC bamboos market is anticipated to expand at a CAGR of 14.1% over the forecast period and gain 930 BPS by 2027 as compared to 2017.

 

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