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Control and Instrumentation in South Africa 2015

  • April 2015
  • 124 pages
  • Who Owns Whom
Report ID: 2998204


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Value of the South African market: This report focuses on the Instrumentation and Control (I&C) industry in South Africa, an industry that forms the base for sophisticated and advanced control systems in almost every other industry. The sector is estimated to be worth R15bn and is growing at a CAGR of 5%. Although currently grouped under the electrical engineering discipline, the Society for Automation, Instrumentation, Measurement and Control (SAIMC) aims to have the I&C sector acknowledged as a separate engineering discipline by the end of 2015. Major players include Yokogawa South Africa, Siemens, Schneider Electric South Africa, Emerson Industrial Automation Southern Africa and Endress+Hauser South Africa, all majority-owned by international companies.

Challenging Conditions:
Concerns have been expressed about the outlook for the domestic economy, with the International Monetary Fund citing electricity shortages as one of the biggest impediments to growth. Delays by government in committing to infrastructure projects, low commodity prices in the mining sector, which is one of the major markets for the I&C industry, and a shortage of skills in the 25 to 45 age bracket, are all key challenges within the sector.

Eyeing the rest of Africa: While the trend to mechanise and automate plants will provide some opportunities for growth in the local market, many businesses are looking at expansion in sub-Saharan Africa. Although growth in the region was recently downwardly revised, it is still expected to reach 4.5% during 2015 and 5.1% the following year. The need for accelerated transport, communication, water and power infrastructure development means that South African-based companies are optimistic that orders from sub-Saharan Africa will increase over the next five years.

Report Coverage:
The report on the Instrumentation and Control sector describes the current market, outlines developments within the sector and focuses on factors influencing the success of the local industry. The report also profiles 39 South African-based companies, ranging from ABB South Africa, 80% German-owned that employs 2,500 people locally, to Instrotech (Pty) Ltd, a South African SME manufacturer and supplier of industrial, electrical and electronic equipment that has 25 employees.

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