Frost & Sullivan: Ballast Water Treatment Market at Full Speed With Massive Growth of Over 50% per Year

LONDON, April 27, 2010 - Ballast water treatment (BWT) equipment has been in great demand
following the International Convention for the Control and Management of
Ship's Ballast Water and Sediments in 2004. This Convention, aiming to
address the issue of the so called 'invasive marine species', has made it
mandatory for ships to have onboard BWT systems to meet strict quality
standards regarding the discharged ballast water. As a result, more than
57,000 maritime vessels will require BWT equipment from 2009 to 2020.

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New analysis from Frost & Sullivan (www.environmental.frost.com),
Global Ballast Water Treatment Systems Market, finds that the market holds
massive growth opportunities from 2009 to 2020. The market is expected to
grow at a remarkable compound annual growth rate (CAGR) of 52.8 per cent and
generate revenues of US$34.1 billion for the period 2009 - 2020.

National legislation in many countries, especially in the European Union
and the United States, allows states to have stringent laws to protect the
ecology of sensitive waters. "Certain geographic regions such as the Artic
Zone or the Caribbean Islands are considered sensitive areas and there is
increasing environmental and public pressure to not release ballast water at
such areas and ports due to its harmful effects on micro-organisms," says
Frost & Sullivan Research Manager Fredrick Royan." Some ship owners have
started to install BWT systems in their ships to improve their corporate
social responsibility (CSR) image."

The uncertainty around the ratification and enforcement process of the
Convention impedes market growth at present. For the Convention to be
effective, 30 states representing 35 per cent of the world's merchant
shipping tonnage have to ratify it. So far, only 22 states representing about
23 percent of the merchant fleet tonnage have ratified it.

"Until the Convention is ratified, ship owners have limited incentive to
purchase the systems," notes Fredrick. "In addition, the global economic
downturn has affected the shipbuilding industry, lowering the volume of
orders for newly constructed vessels, one of the two key market segments for
BWT equipment."

Nevertheless, these issues are likely to be short-lived and the market is
expected to post impressive growth rates, especially with some BWT systems
providing value additions to the ship owner through enhanced protection from
corrosion in ballast tanks.

This scale of opportunities has attracted nearly 50 systems suppliers to
the market. Until March 2008, only eight companies were fully certified and
approved, with the remaining ones either in the process of product
development or in the process of certification.

The competition is diverse and includes traditional technology suppliers
from the water and wastewater industry as well as marine industry equipment
suppliers. Participants in the market include both large multinational
companies as well as small system suppliers established specifically for the
purpose of selling BWT equipment.

"Owing to the early stage of the market development, market leadership
cannot be determined yet," observes Fredrick. "However, some companies have
already demonstrated best practices, which can be leveraged by other
suppliers looking to achieve success on the market."

If you are interested in more information on this study, please send an
e-mail to Chiara Carella, Corporate Communications, at
chiara.carella@frost.com, with your full name, company name, title, telephone
number, company e-mail address and website, city, and country.

Global Ballast Water Treatment Systems Market is part of the
Environmental Growth Partnership Services programme, which also includes
research in the following markets: CEO 360: Sustainable Water & Wastewater
Treatment technologies, Water & Wastewater Management in the Global Oil & gas
Industry, Water & Wastewater Management in the Global Power Industry. All
research services included in subscriptions provide detailed market
opportunities and industry trends that have been evaluated following
extensive interviews with market participants.

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    Global Ballast Water Treatment Systems Market

    M494

    Contact:
    Chiara Carella
    Corporate Communications - Europe
    P: +44-(0)-20-7343-8314
    M: +44-(0)-753-3017689
    E: chiara.carella@frost.com

www.frost.com

Chiara Carella, Corporate Communications - Europe of Frost & Sullivan, +44-(0)-20-7343-8314, Mobile, +44-(0)-753-3017689, chiara.carella at frost.com