Security, an industry with 10% growth
The global financial rout has left no industry unspared, but there’s one that’s set to clock high growth despite the slowdown: security, reports Nandini R Iyer.delhi Updated: Oct 12, 2008 00:52 IST
The global financial rout has left no industry unspared, but there’s one that’s set to clock high growth despite the slowdown: security.
The spate of terror attacks in the last two years has led to a boom for firms providing security and security equipment.
Industry experts estimate that the security firm industry has grown at least 10 per cent per month since the May 13 serial blasts in Jaipur, while the consolidated growth for sales of security gadgets this year has hit 24 per cent.
“We expect growth to touch 30 per cent. Last month, we clocked our highest ever sales of closed circuit television systems - over 7,000 cameras,” said Aseem Kumar, head of ADI Marketing, a division of Honeywell International, one of India's largest distributors of electronic security products.
Saurabh Nangia, a security consultant for several MNCs, said: “Twenty-two firms selling security equipment manufactured abroad have come up in the past eight months.”
“There is huge demand from government agencies, like the police. Inquiries have risen 40 per cent because people feel existing equipment is inadequate," said Kumar.
RK Sinha, chairman, Security and Intelligence Services, said his firm purchased over Rs 24 crore worth of equipment for clients this year. "We've doubled purchases. No longer content with guards, people have realised the importance of electronic surveillance in the post-blasts scenario. Now they want door frame metal detectors, hand held metal detectors, spy cameras, CCTVs, alarms and baggage screening equipment," he said.
A Frost and Sullivan report earlier this year pegged the market for security equipment in India at Rs 1,800 crore.