The Middle East and Indian market for central plant air-conditioning is well developed, at $732 million in 2000, rising at over 8 per cent per annum to over $1 billion by 2004. Unlike the room and packaged market, all of the six countries surveyed are growing at similar rates.

Perhaps surprisingly, the UAE emerges as the single largest market. Currently there is a boom in major construction, feeding on the fast economic growth and high per capita income, with Dubai seeking to become the economic hub of the entire Middle East region. Abu Dhabi and Dubai account for around 75 per cent of the UAE central plant market.

Saudi Arabia is also a major market with significant regionality, the western region including Jeddah accounts for 55 per cent of the total market, and the central region (including Riyadh) accounting for 35 per cent of sales. Here, the increase in oil prices will have a major knockon effect on accelerating huge construction projects.

Throughout the Middle East, particularly Saudi Arabia and the UAE, there is evidence to suggest that central plant and large packaged is being preferred to smaller air conditioning units for newer large construction projects.

Chillers

Over 8,000 chillers were sold in the region last year, and are forecast to increase to over 11,000 units by 2004.

By volume, India dominates the region followed by the UAE, but with all other countries covered by the study having sales of at least 850 units per annum.

Around 70 per cent of all chillers sold in the region are reciprocating with screw also significant, particularly in the UAE. Scroll is smaller, with Saudi Arabia easily the biggest market. Centrifugal chillers are also significant but are almost entirely imported, with Sarmarafin in Iran a notable exception. There are also major markets for absorption chillers in Iran and India.

The markets generally are biased towards chillers of more than 100 kW, although there is a significant number of smaller chillers in India and Iran.

Traditional 'US origin' companies, Carrier, Trane, York, McQuay and Dunham Bush are strong in the Middle East with Lennox, Hitachi and LG also significant.

Significant local producers are: Power (Egypt); RIC (Kuwait); Al Zamil, RACE, Alessa (Saudi Arabia); SKM (UAE); Blue Star, Thermax, Voltas (India); and 20 companies in Iran, including eight large companies such as Atmosfer and Saren.

Air handling units

The air handling market at $130 million and over 22,000 units last year is most developed in Saudi Arabia followed by the UAE. Together they account for nearly twothirds of sales in the region although Egypt and, to a lesser extent, Kuwait are also significant. India and Iran are currently small markets with great potential. Nearly half of all sales are between 2.37-6.61 sq m/hr although India and Iran have much smaller sized units.

The supply structure is highly variable from country to country. Whereas Carrier, Trane, York and McQuay are strong in most countries, other international players such as Lennox and Dunham Bush are also significant. In addition, there are important local producers such as:

  • Al Zamil, HACE (Saudi Arabia);

  • RIC/Coolex (Kuwait);

  • Savior (Egypt);

  • SKM (UAE);

  • Blue Star, Suvidah, Marsa and Batliboi (India); and

  • 10 local producers only including Saravel (Iran).

    Fan coils and terminal units

    Fan coils are easily the most popular terminal unit with some 220,000 units sold in 2000, and are expected to increase rapidly to over 300,000 units by 2004. The UAE accounts for almost onethird of all sales across the entire region with all of the other Middle Eastern countries covered all of a similar size.

    The supply structure is very similar to that for air handling units. VAV (variable air volume) units is a small market, with nearly 90 per cent of sales confined to Saudi Arabia and the UAE.

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