In 2013, the GCC oil and gas sector (including upstream, midstream and refining), presented the biggest opportunity for instrumentation products with about 49% revenue share. Petrochemicals sector (including fertilisers and chemicals) accounted for about 15%, during this same period.
According to Virein Kumar Yadlapalli, Industrial Automation & Process Consulting Practice, Middle East, North Africa & South Asia, Frost & Sullivan, the market for instrumentation is cumulative of gas monitors, analysers, transmitters, flow meters, control valves and gauges in the GCC. Overall opportunity for instrumentation products was estimated to be more than $1.80 billion in 2013. The Kingdom of Saudi Arabia (KSA) constituted over 45% of the market.
“Apart from investments in oil and gas projects, the GCC is also witnessing significant investment in infrastructure, power generation and desalination and water and wastewater industries. Of the listed, the petrochemicals and power generation and desalination industries are expected to contribute to sizeable opportunities for instrumentation products; with cumulative share of about 26-30% of the revenues,” said Yadlapalli.Â
The KSA will continue to present maximum opportunities for instrumentation products in the next 4-5 years, while those in the UAE, Kuwait and Qatar are expected to gradually increase their contribution. In all, the market for instrumentation products in the GCC is forecast to grow at an estimated 7-8% per cent in the next 4-5 years.
The growing operational demands placed upon control systems and instrumentation by rising complexity of the process and increasing safety requirements, has necessitated a gradual migration towards better, albeit more expensive, technologies. Increasing average oil price spurs exploration and production investment. Also, the ongoing investments in the non-oil and gas sector will boost opportunities for instrumentation products. Â
Â
