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Investments Amplify Growth Prospects in the Latin American Industrial Water Market Finds Frost & Sullivan - In the Latin American industrial water market, trends point to rising investments in the natural resources segments in Mexico, the Caribbean basin, and South America
Investments Amplify Growth Prospects in the Latin American Industrial Water Market Finds Frost & Sullivan

 

PRZOOM - /newswire/ - Buenos Aires, Argentina, 2010/02/15 - In the Latin American industrial water market, trends point to rising investments in the natural resources segments in Mexico, the Caribbean basin, and South America.

   
 
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Industries consume significant volumes of water and are required to treat their wastes. Water demand maintains a direct relationship with investments; the more direct investments are made in the region, the more water and water services are likely to be needed.

New analysis from Frost & Sullivan (environmental.frost.com), Opportunities in the Latin American Industrial Water Market, finds that finds that the steel industry in the region which is considered one of the most dynamic and in constant growth due to the potential of its main markets, consumes approximately 21 percent of the total water demand in Latin America and has a noticeable increasing trend for the forthcoming years.

If you are interested in more information on the research, then send an email to Catalina Rossini, Corporate Communications, at catalina.rossini[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country.

"Apart from infrastructure, the main investments in Mexico are taking place in electricity, drinking water, and water sanitation," says Frost & Sullivan Research Analyst David Olvera Mora. "Tourism infrastructure is expected to continue growing in urban networks and tourism complexes, as well as, in dual-purpose establishments that combine hotel facilities with residential apartments."

In the biofuels sector, major investments have traditionally taken place in Brazil, but other countries in the region are beginning to receive investments in this segment as well; Colombia, the Dominican Republic, and Peru are among these nations. Investments in the natural resource segments- mining, agroindustry, and tourism have been enhanced in Mexico and the Caribbean basin. Besides, there are transnational corporations (TNC) subsidiaries producing certain product lines for the global market in South America as well. There are also high levels of investment in the motor vehicle industry, mass consumer goods, telecommunications, and construction verticals.

Many countries in Latin America lack improved water and wastewater infrastructure. Most opportunities revolve around expansion and upgrading of existing water supply and wastewater networks. The demand for such solutions in the industrial sector in the region is concentrated in the oil and gas, chemical and petrochemical, mining, food and beverage as wells as the paper and pulp industries.

As the regulations in the region advance in terms of requirements and enforcement, the above-mentioned industries are expected to increase investments in water and particularly in wastewater solutions and services. Water discharge and desalination are the major trends in the region as well. In terms of competition, the Latin American market still presents a moderate degree of industry rivalry at the development stage.

"Although some participants illustrate more incisive market shares, there are opportunities for the different local contractors and companies," adds fellow analyst and Johanna Dueñas. "However, as the industry matures, the rivalry is likely to increase and restrain the ability of the less-capitalized competitors."

Considering the overall scenario, the adoption of a strategy toward a chosen target market is imperative for a company to achieve success in Latin America. Under such competitive conditions, forward planning is critical for a company to survive and progress.

"In order to be successful, companies must formulate appropriate strategies to match technological requirements and segments' demands, monitor customer feedback, improve customer relationship management, focus on value addition, and create product differentiation," observes Dueñas. "Value-added services including consultancy, on-site maintenance, product delivery, and inventory management can help suppliers differentiate and derive the cutting edge over competition."

Participants must focus on remote monitoring and control systems as these services can help reduce the cost of on-site operations. Also, companies must establish their local footprint and increase market penetration. The global economic crisis is encouraging private water and sanitation companies to invest in high growth areas such as the Middle East and Asia Pacific.

Opportunities in the Latin American Industrial Water Market is part of the Environmental Growth Partnership Service program, which also includes research in the following markets: Opportunities in the Latin American Municipal Water Sector, Service: Brazilian Industrial Sludge Treatment Equipment Market, Service: Latin American Fire and Smoke Detection Devices Markets, and Service: World Trends in the Residential Air Treatment Equipment Markets. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from 45 offices on six continents.

Opportunities in the Latin American Industrial Water Market / N5C3

 
 
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Investments Amplify Growth Prospects in the Latin American Industrial Water Market Finds Frost & Sullivan

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