Research and Markets: South African Electric Drives Markets

* Reuters is not responsible for the content in this press release.

Wed May 27, 2009 1:20pm EDT

DUBLIN--(Business Wire)--
Research and Markets
(http://www.researchandmarkets.com/research/663df5/south_african_elec) has
announced the addition of Frost & Sullivan's new report "South African Electric
Drives Markets" to their offering. 

Mining Sector Proves Both Boon and Bane for Electric Drives Market. 

The South African electric drives market is on a growth trajectory. Market
expansion is being supported by rising demand from the power generation and
metals and mining sectors. Continuing investment in the metals and mining
sector, driven by the commodity boom, will have a huge impact on market growth
as mining houses increase their production capacities. "Mounting investments in
the metals and mining sector, and the need to refurbish and build new power
stations in South Africa are fuelling the demand for electric drives," notes the
analyst of this research. "Furthermore, as the power shortages currently faced
in the country are unlikely to be resolved until 2012, energy efficiency is
expected to be a key issue across all industrial sectors in the country." Water
infrastructure development, construction projects towards the FIFA 2010 World
Cup and the need for efficiency in the manufacturing sector will greatly enhance
the growth of the electric drives market in South Africa. 

AC electric drives dominate the market and will augment their share of revenues
by 2014. The market for DC standard electric drives, on the other hand, is set
to decline as more end users replace DC with AC motors. Servo drives are
expected to remain a small fraction of the total market due to technology
developments in AC technology, which meets the requirements of many end users.
However, the electric drives market is heavily dependent on the metals and
mining sector, which, in 2007, accounted for an estimated 64 per cent of total
electric drives revenues. However, diversification of the market base from the
metals and mining sector is proving to be difficult. As a result, electric
drives suppliers compete fiercely in the metals and mining sector due to the
small size of the markets in other sectors. This increasing competition is
likely to lead to price reductions over the long term, with the risk of reduced
revenues should the investment in the metals and mining sector fall. 

This Frost & Sullivan research service titled South African Electric Drives
Markets provides revenue forecasts and trends, end-user sector analysis and
competitive analysis. In this research, Frost & Sullivan's expert analysts
thoroughly examine the following market sectors: alternating current (AC),
direct current (DC) and AC servo electric drives. Market segments include power,
metal and mining market, water and wastewater, food and beverage and automotive
industries. 

Key Topics Covered:

* 1 MARKET OVERVIEW 
* Total Revenue Forecasts 
* South African Electric Drives Markets

For more information visit
http://www.researchandmarkets.com/research/663df5/south_african_elec





Research and Markets
Laura Wood
Senior Manager
press@researchandmarkets.com
Fax from USA: 646-607-1907
Fax from rest of the world: +353-1-481-1716 

Copyright Business Wire 2009

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