Nonmetallic Mineral Mining & Quarrying Industry Profile

Companies in this industry develop mine sites; mine and quarry nonmetallic minerals; and prepare plants for beneficiation, the process to separate the minerals from waste. Major nonmetallic mining companies include the US-based Vulcan Materials and Martin Marietta Materials; Rio Tinto (dually headquartered in Australia and the United Kingdom); DeBeers (South Africa); HeidelbergCement (Germany); and CRH (Ireland).

The world's most mined nonmetallic minerals are lime (330 million metric tons produced annually); salt (290 million metric tons); and phosphate rock (190 million metric tons). China and India have the largest nonmetallic mineral reserves in the world. Due to their growing economies, China, India and Brazil are poised for the most growth in the industry.

The US nonmetallic mineral mining and quarrying industry includes about 3,300 companies with annual revenues of about $22 billion and is expected to grow at a high rate over the next two years. Key growth drivers include rising construction spending for both residential and nonresidential buildings.

COMPETITIVE LANDSCAPE

Demand is driven by construction spending and agricultural spending on fertilizers. Large companies have some economies of scale in purchasing and administrative systems, and have the production volume to supply large construction projects, such as new highways. Small companies typically own just one mine and compete in a local market based on superior customer service. The industry is fragmented, with many small firms serving local geographic markets.

Imports of nonmetallic minerals account for ...