GCC personal safety gear market to top $450m
Dubai, December 27, 2012
The personal protective equipment (PPE) market in the GCC earned revenues of $320.8 million in 2011 and this is estimated this to reach $452.4 million in 2017, said a new report.
The resumption of infrastructure development in various sectors such as transportation, housing, oil and gas, and utilities has widened the labour pool and thereby, raised the demand for personal protective equipment in the GCC, explained the Strategic Analysis of the GCC Personal Protective Equipment (PPE) Market released by Frost & Sullivan, a leading growth partnership company.
“The construction and infrastructure industries in the GCC are strongly driven by the $120-130 billion in awarded contracts, across various sectors,” said Frost & Sullivan Chemicals and Materials Research Analyst.
“Further, the infrastructure planning towards the upcoming 2020 Fifa World Cup in Qatar is expected to boost the PPE Market at par with the construction industry, provided all regulatory and safety compliances are met.”
The GCC governments are encouraging investments in the non-oil and gas-based industries in their attempt to achieve economic diversification.
According to the report, this has led to further investments in infrastructure and thereby, a bigger market for PPE. However, despite the market’s potential, PPE companies find it difficult to penetrate the low-end segments due to end users’ inadequate awareness and compliance with safety product standards.
There is high price sensitivity, especially among smaller contractors in the construction industry, who ignore safety standards when it comes to products such as gloves and goggles, according to Frost & Sullivan.
“It is imperative for the government and private participants to enforce safety standards and build awareness,” noted Frost & Sullivan Analyst. “Many multinationals have already launched awareness campaigns and stand to gain from the resultant goodwill.” – TradeArabia News Service