The Global Automation Research LLC 2017 Global Market Forecast shows that the Brazil Process Instrumentation and Automation (PI&A) market is recovering and will show annual growth of 3 to 5 percent over the next 5 years, reaching $2 Billion by 2021. The cumulative 5-year market value gain will be almost $400 million.
Paul Rasmusson, President, Global Automation Research LLC said, “Exploiting the PI&A market opportunities in Brazil and capturing a portion of the $400 million increase will require a good understanding of Brazil’s process industry segments and the geographic distribution of PI&A market.”
The Brazilian PI&A market is geographically spread across a country almost the size of the United States (much larger if you exclude Alaska). At 210 Million, its population is two-thirds that of the United States. The process industries account for about 25 percent of the Brazil GDP versus about 6 percent in the United States.
The 2017 Brazil ReMaP™ program shows that while about 40 percent of the process automation market is concentrated in the Southeast region of Brazil, the remainder of the PI&A market covers all 27 Brazilian States.
For example, ethanol/sugar processing has concentrations in the northeast, mining in the central area, refining and food processing in the south region, and onshore oil & gas production in the north and northeast Brazil.
The 2016 Brazilian PI&A market value is $1.64 Billion. By 2016, the market will reach $2.0 Billion, a 5-year CAGR of 4.2 percent. This period of forecasted growth follows three years of steep declines due to the Brazilian economic recession combined with business scandals in Petrobras. On-going problems such as government red tape, inflation, Petrobras management, and lack-luster foreign direct investment remain to challenge the recovery.
However, underlying drivers for growth include the global recovery of oil prices, substantial increases in both onshore and offshore oil production, infrastructure spending, and significant demand for delayed maintenance, repair, and turnarounds in the refining and chemicals industry. Cement, iron ore and sugar exports will drive new processing facilities with associated Process Automation demand.
For more information about the 2017 Brazilian PI&A market and the 2017 Brazil ReMaP™ program visit our website