Taiwanese, Chinese imports a threat for UPS makers
February 13th, 2012 - 9:43 pm ICT by IANSChennai, Feb 13 (IANS) Even as the Indian uninterrupted power system (UPS) logging good growth, the biggest challenge for the players is increased competition from new players in the up to 20 kVA range as well as cheaper imports from Taiwan and China, states Frost & Sullivan.
According to a statement from the consultancy agency Monday, the Indian UPS market, which is worth around $528.5 million in 2010-11, is expected to reach around $828.2 million.
“The Indian UPS market is a growing and competitive one where both multinational and Indian suppliers are jostling for space. The competitiveness in the market is intensifying, with barriers to the entry of new participants, especially in the up to 20kVA power range, becoming lower,” the statement said.
“The biggest challenges faced by UPS manufacturers will be cheap imports from China and Taiwan as well as rising raw material prices,” Frost & Sullivan added.
Referring to the trend the consultancy agency said: “The UPS industry is advancing towards providing various value added services such as power quality audit, thermograph survey and remote monitoring services due to the increasing demand from IT/ ITeS (information technology (IT) and IT Enabled Services) manufacturing as well as government and infrastructure end users.”
The industry is also moving towards an efficient battery management environment and proper monitoring of batteries, thus extending battery life.
Sizeable demand from IT/ITes, government and manufacturing sectors is anticipated to drive the UPS market. The penetration of the IT/ITeS sector in tier 2 and tier 3 cities and the computerisation initiatives of the government in various departments will be key to pushing uptake levels.
Another trend in the market is that of UPS suppliers upgrading themselves to become total power solutions providers, the statement said.
The presence of large number of unorganised players will lower priced product offerings has resulted in stiff competition in the domestic, small office, home office segments.
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Tags: battery management, cheap imports, china states, chinese imports, consultancy agency, frost sullivan, indian suppliers, kva, management environment, manufacturing sectors, power quality, product offerings, quality audit, raw material prices, remote monitoring services, tier 3, uninterrupted power, ups, ups manufacturers, value added services