Global demand for PU materials in panel systems is forecast to grow by an average of 4.4% per year to 1.91m t in 2018, from 1.54m t in 2013, with the highest growth rate expected in India, according to a new report from IAL Consultants (London / UK; www.ialconsultants.com). Europe will remain the largest regional market for PU for panel systems over the forecast period, although its share of the global market is expected to decline as developing regions such as Asia, South America and the Middle East increase their share.

Demand in Asia is predicted to grow by an average of about 10% per year, while demand in the Middle East (including India) is forecast to grow by 9% per year, says the report, “Global markets for PU panels”, which was compiled in conjunction with panels manufacturer Isowall (www.isowall.org.uk). “The country with the highest forecast growth is India, where an increasing industrial market and a rapidly rising income group demanding pre-prepared and frozen foods, as well as increasing food chain and retail development, will boost demand for insulated panels at a significant rate,” it says.

Global demand is being driven by incentives to invest in insulation, rising energy costs, new national government building codes and increased demand for rapidly constructed houses and buildings. The recovery from the global financial crisis is also helping to lift consumption, says IAL.

The use of PU insulation materials as panels has become a standard building system throughout the world, either as a prefabricated panel or part of the general building "envelope". Flexible faced panels accounted for 61% of the market in 2013, while rigid faced continuous panels accounted for 31% and rigid faced discontinuous panels accounted for 8%, the report says.