Indian AC Electric Drives Market Fueled by Need for Energy and Operational-efficient Drives
The Indian AC electric drives market is entering a growth phase with escalating energy prices leading to a need for energy and operational-efficient motor control systems and drives. End-user awareness of additional drive benefits such as minimized maintenance requirements, improved process control performance, and enhanced motor and equipment life are factors fueling adoption. To gain market share, drive manufacturers must increase the reliability of their products to improve energy efficiencies and prevent downtime, while automation companies should enlarge their value proposition to end users and original equipment manufacturers (OEMs).
“With the cost of energy and power expected to increase, energy-intensive end users such as metal, cement and power, and other OEMs are adopting variable frequency drives (VFD) to optimize the utilization of energy and reduce the overall cost of production,” said Kalpana Singh, Consulting Analyst, Industrial Automation & Process Control Practice, Frost & Sullivan. “This trend is expected to spark huge opportunities in upgrading and retrofitting drives across multiple industries.”
Analysis of Indian Electric AC Drives Market, Forecast to 2021, new analysis from Frost & Sullivan’s Industrial Automation & Process Control Growth Partnership Service program, finds that the Indian electric AC drives market generated revenues of INR 24,510.0 million in CY 2016 and is expected to register a compound annual growth rate (CAGR) of 5.5% through CY 2021. The study provides an analysis of current and expected market developments, drivers, restraints, and revenue forecasts across low-voltage (LV) and medium-voltage (MV) drive segments. Market share and competitive landscape for major players such as ABB, Danfoss, Siemens, Hitachi, Yaskawa, Schneider, Fuji Electric, Rockwell, Mitsubishi and L&T are provided.
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Developments driving growth in the Indian electric AC drives market include:
- Increasing demand for LV AC drives in non-traditional industries like plastics, marine, water and wastewater, and food and beverage;
- LV market trends toward motor-drive combo packages, industry-specific drives, and diversification of product portfolios;
- Building channel partner relationships to increase reach to end users;
- Widening application areas, energy-efficiency norms issued by the Government of India, and end users’ voluntary investment; and
- Recovery in key segments such as construction, automotive, and manufacturing.
“On the flip side, budgetary constraints, high implementation costs, and low awareness of additional benefits of VFD in tier 3 and small and medium segments are trends restraining demand for electrical drives in India,” noted Singh.
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