Frost & Sullivan’s analysis indicates oil-free compressors gaining momentum
Frost & Sullivan’s analysis about in-house servicing capabilities and sustainability initiatives driving the oil-free compressors market, have shown that the market is gradually gaining momentum.
Its demand across industries; life sciences, food and beverages, power generation and electronics, is surging to drive the growth in various regions such as Latin America, Europe (except Western Europe), the Middle East,Africa and Asia-Pacific.
“Microeconomic trends such as trade barriers, foreign partnerships, and political and economic regulations will influence the adoption of oil-free compressor systems, but the global and regional regulatory factors will be stable during the forecast period,” said Krishnan Ramanathan, Industry Manager for Industrial, Frost & Sullivan. “It is assumed that there will be opportunities for product developments through the use of the latest technologies, which will contribute to market growth.”
Globally, the market is estimated to garner revenue of $3.4 billion by 2025 from $3.1 billion in 2020, up at a compound annual growth rate of two per cent.
With the fallout of the COVID-19 pandemic, the industry experienced a slowdown in 2020, but is expected to cross pre-COVID levels in the mid-term as economies adopt the necessary measures to combat the pandemic’s impact.
“As with industrial automation and other areas where technology is gaining adoption, the latest development in the compressors market is systems that use augmented reality to measure the production floor and calculate the piping requirements,” said Ramanathan. “Another trend that is gaining adoption is the use of smaller compressors over one large compressor, which results in energy savings for end-users, although the initial investment is higher.”
Despite higher prices, end-users such as food and beverage and pharmaceutical industries are likely to invest in oil-free compressors as a result of the regulations and benefits involved.