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Automation and Control Market in the Philippines : Infrastructure Development—A Priority for the Government to Aid the Cement Industry

  • February 2015
  • 110 pages
  • Frost & Sullivan
Report ID: 2750948


Table of Contents

Key Findings

The total automation and control market in the Philippines is in the growth stage and grew by % compared to 2013. The market is expected to grow at a CAGR of % from 2014 to 2019.
The Philippines offers adequate opportunities in both factory and process automation. While it has a substantial base for factory automation in food and beverage and electronics and semiconductors, it also offers opportunities for process automation in cement, power, and mining industries.
Programmable Logic Controllers (PLCs) will continue to be the widely sought-after automation systems, as there are required for numerous applications involving factory automation. System integrators offering customized services (fabrication) across industries will be in demand as well.
Distributed Control Systems (DCSs) will also be used in upcoming projects in the oil and gas industry.
Areas of interest for automation vendors include Luzon (cement, oil and gas, power), Malampaya (oil and gas), Cebu, Ilijan(power), Visayas (Cement), and Davao (power).
There is stiff competition for projects in the Philippines because automation opportunities with regard to oil and gas are limited. Overall, the automation market is not fragmented and is dominated by multinational vendors who operate through Engineering, Procurement, and Construction (EPC) companies and systems integrators.

CEO’s Perspective

Unlike major economies in Southeast Asia, use of automation in the Philippines is relatively balanced between factory and process automation applications. Success for automation vendors will, hence, depend upon their ability to serve the process automation and factory automation markets.
The mining industry in the Philippines will offer opportunities if there are concerted efforts from state and private organizations to aid growth in the industry. There is a need for clear and stable policies for the industry.
The success of market leaders will be attributable to their base in the country due to their local footprint, broad portfolio, and servicing capabilities. Automation vendors offering comprehensive services will find better opportunities.
With a growing economy and adequate reserves of minerals, the Philippines will be an attractive investment destination for local and foreign investors, although there is competition from Thailand and Indonesia.

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