Unlike in the past, mechanical seals are low-cost, high performing, have a long life, and are low-maintenance, which all provides excellent cost benefits to consumers.
New analysis from Frost & Sullivan, (industrialautomation.frost.com) North American Packing Material Markets, finds that the market earned revenues of $182.0 million in 2007 and estimates this to reach $225.4 million in 2014.
If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with an overview of the North American packing material markets, then send an email to David Escalante, Corporate Communications, at david.escalante[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country. Upon receipt of the above information, an overview will be sent to you by email.
North American packing materials manufacturers are experiencing challenging market conditions, such as intense price pressures that results in low profit margins. The market is experiencing low growth due to the dip in the pulp and paper industry. However, the water and wastewater segment as well as biomass distillation remain optimistic and will help aid growth in the North American packing material markets. The low cost of packing materials has also catalyzed greater penetration into the market.
“Increase in power generation requirements due to increase in population has stepped-up the demand for conventional steam and hydro plants, despite emerging opportunities in less-polluting power generation techniques through coal technology,” says Frost & Sullivan Research Analyst Deepthi Pamadiparthi. “The power generation plants have also started deteriorating with time, adding to the growth potential in the packing materials market.”
Ease in availability of inexpensive mechanical seals affects the profit margins of mechanical seals. Packing materials require high maintenance and they are not standardized. Increased equipment downtime during overhaul is one of the factors responsible for the higher inventory-carrying costs for packing materials. Therefore, mechanical seals have emerged as the first choice over mechanical packing, with the advent of technological innovations.
“Packing material manufacturers can either partner with low-cost off-shore manufacturers or outsource the non-critical products, as availability of low-cost spurious packing materials challenges them to differentiate their products,” says Pamadiparthi. “In addition, maintaining alternate sealing materials such as mechanical seals aids pure-play packing material manufacturers in sustaining their customer base.”
The packing material market participants do their best to offer products with improved lifecycle cost benefits for maximum equipment uptime. This leads to continuously enhancing product reliability and reducing the cost of ownership for the customers.
It is imperative for the suppliers to have partnerships with their customers, an in-depth understanding of applications and processes, and to translate customer needs into effective, cost-efficient products to address the changing user demands.
“Packing material manufacturers use volatile organic compounds that evaporate after repeated usage or react with the surrounding compounds, making them environmentally unfriendly and hazardous to health,” notes Pamadiparthi. “They need to continuously invest in superior materials to sustain their market presence.”
North American Packing Material Markets is part of the Industrial Automation and Process Control Growth Partnership Service program. The subscription offers various studies: North American Seals Market, North American Packing Materials Market, North American Submersible Pumps Market, World Industrial Valves and Actuators Market, World SCADA Systems Markets, North American Belt Drives Market, and World Machine Safety Market. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.
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North American Packing Material Markets - N3BE