Publication Month: Apr 2022 | Report Code: TIPRE00028842 | No. of Pages: 87 | Category: Electronics and Semiconductor | Status: Published
Process Instrumentation is used to monitor, simulate, analyze, and regulate the manufacturing process by taking timely measurements of essential process parameters to improve process safety and quality. Instruments at the process control are constantly improving in terms of capability, repeatability, precision, dependability, and cost. Additionally, the engineers utilize sensors and other types of instrumentation to monitor and maintain process control equipment in manufacturing and processing facilities for better output, product consistency and quality management, and worker safety. In facilities that store or handle oil, gas, chemicals, or other combustible substances, process control instrumentation is vital for preventing fire or explosion.
The demand for process instrumentation is primarily driven by the growing need for the right instrumentation that helps the industrial users run processes effectively, efficiently, economically, and safely. Rising demand for these products in wide industrial verticals with critical process measuring requirements is driving the Indonesia process instrumentation market. Moreover, flow meters, level meters, analytical instruments, etc. provide high durability, easy installation, and safety measures depending on the applications. These highly operating devices are getting developed for harsh environments. All these factors are contributing to the growth of the Indonesia process instrumentation market.
Indonesia's oil & gas industry is the largest consumer of process instrumentation than other industries, such as healthcare, food & beverages, chemicals, and metals & mining. Due to the presence of one of the highest oil reserves, the oil & gas industry in this country is increasingly adopting process instrumentation, which is expected to fuel the Indonesia process instrumentation market growth in the coming years.
The top five players operating in the Indonesia process instrumentation market in 2020 were Epiroc Group, Supmea Automation, Yokogawa Electric, Krohne Group, and Parker Hannifin. The market is moderately consolidated, with several prominent players catering to domestic and international demand. Epiroc is the most prominent player in the market, followed by Supmea and Krohne Group.
Listing five key players based on a common criterion such as revenue is not feasible. Hence, we have derived this listing of "Key Five Players" in the Indonesia process instrumentation by giving weightage to the following key parameters: overall revenue, segmental revenue, brand image & industry experience, current product portfolio, innovative and advanced technology integration/material enhancements, customer base, geographical reach, new product launches, partnerships, mergers & acquisitions, and other Indonesia process instrumentation market-related activities. Opportunities for players in the industry are accelerated by the uptake of process instrumentations by oil & gas projects in Indonesia.
Based on technology, the Indonesia process instrumentation market is classified into flow meters, pressure and temperature instrument, analytical instrument, and level meter. In 2020, the flow meter segment dominated the market. Also, the segment is expected to retain its dominance during the forecast period. The analytical instrument segment is expected to witness the fastest growing CAGR over the forecast period in the market. Analytical instruments have greater demand in the oil and gas industry throughout all the stages of oil and gas production and processing. The downstream sector accounts for the majority of market demand, as it necessitates several important parameter measurements to ensure operational safety and efficiency in downstream facilities such as refineries and facilities. Contract testing, as well as production and exploration, account for a substantial amount of demand, but certain technical sectors' growth is expected to be below average due to the oil industry in particular sluggish and flatlining demand.
The impact of the COVID-19 pandemic and uncertainty in the macroeconomic situation is the biggest concerns for stakeholders in Indonesia's oil and gas industry similar to their counterparts around the world. However, the oil and gas landscape both in Indonesia and globally has only worsened due to the COVID-19 pandemic which has significantly reduced energy demand and consequently hydrocarbon prices. Over the last decade, the oil and gas business in Indonesia and around the world has seen substantial volatility. Along with global geopolitical and economic factors, the unexpected COVID-19 pandemic plunged the global oil price into a second major downturn in a decade.
Market initiatives are a strategy adopted by companies to expand their footprint worldwide and meet the growing customer demand. The market players present in the Indonesia process instrumentation market are mainly focusing on product and service enhancements by integrating advanced features and technologies into their offerings.