IFSEC Insider is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.
Overall, the Malaysian market outlook for access control remains optimistic over the next five years.
Nevertheless, electronic door access control growth across the wider Asian region – in India, Australia and Malaysia in particular – was challenging in 2014, with little projected relief in 2015.
IHS expects rapid investment in infrastructure and spending, with the barriers to growth being price and competition with lower-cost brands.
In 2014, IHS projected the Indian market for access control would expand at a compound annual growth rate (CAGR) of 13.7% from 2013 to 2018.
However, IHS has revised its original forecast downward to about 13.1%. One reason for the lower growth projection is related to electronic locks.
The adoption of electronic locks in India has been slower than expected, but IHS expects growth to pick up rapidly in 2017 and 2018. Part of the woes for the Indian market for access control can be attributed to falling productivity, lack of financing, and numerous regulatory issues that have dampened investment, thereby halting growth in the manufacturing sector.
Overall, the Indian market for access control remains difficult to enter, with price pressure and suppliers in China and other countries reducing overall margins.
For Australia, the original growth forecast has been halved. Even when including electronic locks, IHS doesn’t anticipate growth to exceed 2.2% through 2016 for access control. Although there is uncertainty, IHS expects the Australian market to continue to grow during the next five years, but at a much slower pace than originally projected.
Large-scale projects for commercial, residential, infrastructure National Broadband Network (NBN) and education facilities should aid growth; however, government spending cuts and a decline in mining and manufacturing will no doubt slow the access control industry growth in the country.
Similar to India, the market opportunity for electronic locks in Malaysia is projected to be limited in the short term, which is why IHS has slowed its original growth projection.
Furthermore, slower growth through 2016 can be attributed to the current state of global oil prices and the upcoming introduction of the goods and service tax (GST).
Subscribe to the IFSEC Insider weekly newsletters
Enjoy the latest fire and security news, updates and expert opinions sent straight to your inbox with IFSEC Insider's essential weekly newsletters. Subscribe today to make sure you're never left behind by the fast-evolving industry landscape.
Malaysian Access Control Market Optimistic Over Next Five YearsNevertheless, electronic door access control growth across the wider Asian region - in India, Australia and Malaysia in particular - was challenging in 2014, with little projected relief in 2015.
IFSEC Insider
IFSEC Insider | Security and Fire News and Resources
Related Topics
Paxton employees raise over £9k for Teenage Cancer Trust
Security benefits of installing mesh networks
The Body Shop boosts operational efficiency with locker solution