The Middle East and Africa pump market is expected to reach USD 11.93 billion by 2028 from USD 8.43 billion in 2022, growing at a CAGR of 5.94% from 2022-2028. Growing prominence on wastewater treatment is anticipated to boost the Middle East and Africa pump market growth during the forecast period. According to the World Health Organization (WHO), approximately half of the region’s population is expected to live in water-stressed countries by 2026. Wastewater management practices are gaining traction in the region. According to Sustainable Water Alliance, countries such as Saudi Arabia and Iran are estimated to deploy numerous new water and wastewater facilities during the projected period. Further, the rise in applications of pumps in industrial, agricultural, commercial, and residential sectors is expected to drive the Middle East and Africa pump market.
Key Winning Imperatives in the Middle East and Africa Pump Market
- New agriculture innovations are being implemented to improve total catering productivity to meet the increasing demand for farm products, which will speed up the development of the rotary pump market.
- For higher viscosity applications such as pipeline initialization, tank stripping, and distiller bottom pumping, downstream oil & gas (refinery) utilize centrifugal pumps and positive displacement pumps.
- The demand for pumps is expected to increase in the coming years as refineries are expected to undergo improvements, pushing more market growth.
- The increased adaptation to IoT is anticipated to be an advantage for the commercial pump industry, as pumps are supplied with embedded hardware and can use advanced technology to adapt themselves to applications.
- Demand for pumps is expected to increase from end-user industries such as oil and gas, water and wastewater, chemicals and petrochemicals, and the mining industry, among others.
MARKET TRENDS & DRIVERS
Rising Number Of Modular Construction Projects
Prefabricated or prefab houses and constructed homes are residences and commercial spaces built in advance in a warehouse, typically in pieces that can be easily transported and incorporated into the property. The demand for prefabricated buildings is growing significantly across the region. This growing demand, in turn, is expected to fuel the demand for industrial pumps in the Middle East and Africa pump market from such building manufacturers.
Growing Potential For Pump Exports
Exports of pumps have been growing as the world supplies a broad range of high-quality pumps and is one of the main demand drivers to raise sales with globalization. Turkey pump market manufacturer exports several kinds of pumps, including pumps fitted with a measuring device for dispensing fuel in filling stations or garages. Exports of centrifugal pumps from the Middle East and Africa pump market are projected to rise in the coming years due to the high demand for orders and increased global applications of centrifugal pumps, such as submersible pumps, single-stage pumps, and others.
Expansion In Infrastructure
Pumps are the primary components for infrastructure projects, such as during renovation. The infrastructure sector is anticipated to lead repossession over the next 12 months in the Middle East region, with a net balance of +29% of the plaintiffs expecting capacities to upsurge. The infrastructure field includes electricity, bridges, dams, roads, and urban infrastructure growth, and pumps have been used in all demand-driven applications.
Fluctuations In Raw Materials Prices
Metal prices are highly volatile and have risen due to inflation and competitive pressures, demanding vendors to pay more in the Middle East and Africa pump market. Fluctuations in raw material prices are further passed on to the customer, and the margins are anticipated to be positively or negatively affected by fluctuations in raw material prices. Fluctuations in the currency exchange rate, as well as fluctuations in raw material prices, risk net revenue, and the operating margin of manufacturers, create significant challenges in the Middle East and Africa pump market.
INSIGHTS BY PRODUCT
Centrifugal pumps are the most widely used pumps, and they are the most sought-after equipment used for water and thin liquids and slurries in almost every industry. The centrifugal pumps market dominates the Middle East and Africa pump market and is growing at 6.43% during the forecast period.
Positive displacement pumps also witness an increased demand in various applications where centrifugal pumps cannot be used efficiently. The types of positive displacement pumps include vane, lobe, piston, advancing tube, peristaltic, and diaphragm. Also, positive displacement pumps are specialty pumps with fewer uses and have lesser suppliers than centrifugal pumps across the globe.
INSIGHTS BY END-USER
The Middle East and Africa pump market by industrial end-user is expected to reach USD 8.97 billion by 2028. The industrial segment dominates the industry by the end-user segment. The demand for industrial pumps is anticipated to drive the refineries beyond the expected timeline. Strict government controls and pollution reduction initiatives are expected to limit oil and gas demand growth and thus limit market development throughout the forecast period. Centrifugal pumps are widely used in processing hydrocarbons, refineries, water injection, and pipelines, and the demand for centrifugal pumps is projected to expand as the refining capacity grows. Furthermore, the technological progress made in deep-water and ultra-deep-water exploration is projected to boost oil production during the forecast period. It offers a possibility for demand growth during the forecast period.
Saudi Arabia dominates the Middle East and Africa pump market and is growing at a CAGR of 6.34% and is expected to reach USD 3.7 billion by 2028. The increasing adoption of industrial pumps in multiple sectors and the waste & wastewater treatment market are some of the significant factors for the growth of the pump industry in Saudi Arabia. The Saudi Arabian Government is focused on treating wastewater to meet the accelerating demand for water. The country has faced many challenges in wastewater treatment, including inadequate coverage for current wastewater collection and the capital investments required for infrastructure expansion. Furthermore, the Kingdom of Saudi Arabia considers wastewater a significant water source and is focused on allowing 100% use of treated wastewater by 2025. Thus, the focus of the Saudi Arabian government on wastewater treatment is on the need for industrial pumps in the Middle East and Africa region.
The Middle East and Africa pump market is very competitive, and the key factor is the ‘differentiating product line.’ A few large companies in the market specialize in producing environment-friendly, high-capacity modern irrigation pumps. Advanced production methods, such as Computer Numerical Control (CNC) and Computer-aided Design (CAD), are effectively employed in large enterprises to manufacture different pump variants. Vendors are actively investing in R&D to develop fundamental technology to establish competitiveness by enhancing core product technology in the pump market. Some major industry competitors include Sulzer Pumps, Ebara, and SPX FLOW, among others. Most robust sources of competitive advantage compete under an extensive range of pumps for the industries such as oil and gas, petrochemical, chemical, and power generation industries.
The Middle East and Africa pump market has international players such as KSB, Wilo, and local players. While local players are expected to dominate the industry, they have the optimum techno-economic capacity and rational production activities. Competition among the closest competitors is generally driven by delivery times, application knowledge, experience, expertise, price, breadth of product offerings, contractual terms, previous installation history, and reputation for quality.