The Structure and Performance of the South African Building Materials Industry

Abstract

Very little has been written about the building materials industry and the little that has tends to focus on claims of monopolistic abuse and restrictive trade practices. Mostly, these claims are unsubstantiated. If they are true, however, building materials will not only cost more than they would in a competitive environment, but would also supply fewer inputs to the construction sector. This is a serious concern given the key role the construction sector will play in the future. This exploratory paper reports on a case study that examines whether there is any foundation to these claims.