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Fire Detection and Suppression Markets in Russia Fired Up by the Progress Made in the Industrial Sector Finds Frost & Sullivan - The Russian fire safety market is steadily growing, with market participants offering increasingly sophisticated and high-quality equipment at competitive rates
Fire Detection and Suppression Markets in Russia Fired Up by the Progress Made in the Industrial Sector Finds Frost & Sullivan

 

PRZOOM - /newswire/ - London, United Kingdom, 2010/07/06 - The Russian fire safety market is steadily growing, with market participants offering increasingly sophisticated and high-quality equipment at competitive rates.

   
 
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The impressive growth of the industrial sector, along with the government's economic diversification strategies and improvement of quality, has buttressed the domestic market's efforts to overcome effects of the recent economic slowdown on the construction sector.

New analysis from Frost & Sullivan (buildingtechnologies.frost.com), Russian Fire Detection and Fire Suppression Markets, finds that the market earned revenues of €156.3 million in 2009 and estimates this to reach €229.9 million in 2015.

If you are interested in more information on this study, please send an email to Chiara Carella, Corporate Communications, at chiara.carella[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country.

Once the global economy bounces back, an investment-friendly climate is expected to help restore the fire suppression market to a 10-15 percent growth rate. Also, if the government commits to modernizing the fire safety regulations, both fire detection and fire suppression markets will experience growth in demand, revenues and competition.

Although the fire detection market is both well-established and saturated, the fire suppression market is not likely to advance until 2011, due to the recovering construction and promising industrial sectors.

"Frost & Sullivan estimates moderate growth rates of 4 percent compound annual growth rate (CAGR) for fire detection and 10 percent CAGR for fire suppression," says Frost & Sullivan Research Analyst Emilia Jelenska. "This is because of the uncertainty regarding the quick adoption of fire insurance legislation, as well as the overall recovery of the Russian economy and various sectors on which the fire safety market depends."

Both of the markets are price-sensitive, except in Moscow and St. Petersburg, due to the concentration of wealth in these cities. Russian products dominate the market in the provinces because they are low-priced, while more expensive and advanced foreign products are sold in wealthier cities.

In spite of this preference in cities, foreign original equipment manufacturers (OEMs) are not exempt from challenges on the market. Domestic companies maintain an advantage, as they are adept at conducting business in Russia and offer cheaper, though sometimes less advanced, technologies. For the growth of the total market, however, authorities must upgrade standards and practices.

The market is encumbered by corruption, hostility towards foreign companies and an outdated legal framework. Also, the government's marked preference for Russian companies, joined by complexities in the certification procedures and the non-existence of a replacement market, have hindered the progress of foreign OEMs.

"Foreign companies seeking to conduct business in Russia must be prepared with sufficient means, robust technology and strong local partnerships in both detection and suppression markets," notes Jelenska. "Despite their dependence on exchange rate fluctuations, the political and business climate and the construction sector, they will feel buoyed by the huge potential of the markets."

If you are interested in receiving a complimentary brochure on this market, please send an e-mail to Chiara Carella, Corporate Communications, at chiara.carella@frost.com, with your full name, company name, title, telephone number, company e-mail address, company website, city, and country.

Russian Fire Detection and Fire Suppression Markets is part of the Building Management Technologies Growth Partnership Services programme, which also includes research in the following markets: European IFM Market: Opportunity Analysis by Vertical Customer Sector, Building Automation Systems: The Future Role of Open Protocols in Europe, European Energy Efficient Lighting Markets, The European Lighting Equipments Market, among others. 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 40 offices on six continents.

 
 
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Fire Detection and Suppression Markets in Russia Fired Up by the Progress Made in the Industrial Sector Finds Frost & Sullivan

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Contact: Chiara Carella 
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