Despite difficult global economic conditions in the second half of 2008,
automation and control solutions (ACS) suppliers in South Africa had a strong
year. Revenues across a number of sectors such as metals and mining, power,
chemicals and petrochemicals and food and beverage grew by over 11.8 per
cent. Heightened demand for manufacturing visibility and efficiency, cost
control and engineering and maintenance services boosted revenues across
products such as programmable logic controllers, distributed control systems
and manufacturing execution systems.



    (Logo: http://www.newscom.com/cgi-bin/prnh/20081117/FSLOGO)



    New analysis from Frost & Sullivan 
(http://www.industrialautomation.frost.com), Strategic Analysis of the South
African Industrial Automation and Process Control Products and Solutions
Markets finds that the market earned revenues of US$284.8 million in 2008 and
estimates this to reach US$487.8 million in 2015. While the market will
expand, it is expected to grow at lower rates over the forecast period due to
the global economic slowdown, which will continue to negatively impact
industrial investment and output.



    If you are interested in a virtual brochure, which provides a brief
synopsis of the research and a table of contents, then send an e-mail to
Patrick Cairns, Corporate Communications, at patrick.cairns@frost.com, with
your full name, company name, title, telephone number, company e-mail
address, company website, city, state and country. Upon receipt of the above
information, a brief brochure will be sent to you by e-mail.



    "The growing focus on the benefits of automation is expected to boost
revenues for automation and control solutions," notes Frost & Sullivan
Industry Analyst Litiya Matakala. "Such advantages include cost savings,
process optimisation and manufacturing visibility."



    Although project delays and cancellations will limit revenue growth in
the metals and mining sector in the short- to medium-term, the increasing
strategic focus and importance of ACS are set to support revenue growth over
the long-term.



    The industrial automation and process control products and solutions
market has traditionally relied on high capital expenditure in the metals and
mining and chemicals and petrochemicals sectors. Hence, the fall in commodity
prices and production output will have a considerable negative impact on the
demand for new installations of industrial automation and process control
products and solutions in these end-user segments. This, in turn, will result
in lower revenue growth.



    "Due to the fall in minerals and metals prices, a number of projects in
this end user segment are expected to be delayed or cancelled altogether,"
explains Matakala. "This is poised to have a negative impact on growth
prospects, as this sector accounts for an estimated 30.0 per cent of the
total ACS market in South Africa."



    For market success, companies need to diversify the end-user market base
away from the metals, minerals and mining sector. They also need to provide
high-quality after-sales services.



    The following application sectors are covered in this analysis: metals,
minerals and mining, petrochemicals and chemicals, food and beverages, power
and water and wastewater.



    Strategic Analysis of the South African Industrial Automation and Process
Control Products and Solutions Markets is part of the Industrial Automation &
Process Control Growth Partnership Services programme, which also includes
research in the following markets: South African Switchgear Market, South
African Electric Motors Market, South African Pressure Sensors Market and,
South African HMI Market. All research included in subscriptions provide
detailed market opportunities and industry trends that have been evaluated
following extensive interviews with market participants.



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Partnership, please visit http://www.frost.com.


    
    Strategic Analysis of the South African Industrial Automation and Process
     Control Products and Solutions Markets
    M41E

    Contact:
    Patrick Cairns
    Corporate Communications - Africa
    P: +27-18-468-2315
    E: patrick.cairns@frost.com


    http://www.frost.com



Source: Frost & Sullivan

Patrick Cairns, Corporate Communications - Africa, Frost & Sullivan, +27-18-468-2315, patrick.cairns@frost.com Logo: http://www.newscom.com/cgi-bin/prnh/20081117/FSLOGO