Residential water treatment is the process of treating water in order to make it suitable for reuse. This process includes the elimination of the contamination present in the water. This process is gaining huge demand due to the growing excessive amount of wastage of water and because of which most of the countries are facing water scarcity. Moreover, due to the contaminated drinking water supplied by the municipal corporation's consumers are suffering from various diseases such as diarrhea, liver damage, etc. and water treatment equipment are the ideal solution to deal with this problem.
The South America residential water treatment equipment market is estimated to account for US$ 393.6 Million in terms of value in the year 2018 and it predicted to grow at a CAGR of 8.9% during the forecast period (2019-2027)
Increasing per capita income and adoption of water treatment equipment in the South America region is expected to accelerate the market growth in residential water treatment. According to the Coherent Market Insights analysis, a UNICEF/WHO study showed residential water treatment practices are more likely to be adopted by the wealthier class in South America. Therefore, the rising adoption of water treatment equipment in the region is anticipated to foster market growth.
Strict government regulations for wastewater treatment in South America is expected to offer lucrative growth opportunity over the forecast period. For instance, in 2018 the World Bank launched the “Wastewater: From Waste to Resource “initiative. In order to raise awareness among decision-makers regarding the potential of wastewater as a resource—for energy, clean water, biosolids, and nutrients, among other potential by products—and to ensure that wastewater’s inherent value is recognized.
High cost of product and regular maintenance of water purification equipment especially that of the RO and UV segments is projected to hinder the market growth. According to the Coherent Market Insights analysis, the average cost of as reverse osmosis (RO) purifier ranges from US$ 250 to 350 million, with annual maintenance charges pegged at US$ 30–40 billion, inclusive of labor charges. Hence, the high cost of water treatment devices is expected to hinder the market growth.
On the basis of purification devices, the reverse osmosis purification equipment dominated the South America residential water treatment equipment market in 2018 with a 41.4% market share in terms of value, followed by ultra violet and gravity purification equipment, respectively.
Rising trend of setting up retail stores and e-commerce websites among manufacturers in South America, to simplify the supply chain and reducing marketing costs is expected to augment the growth of South America water treatment equipment market. This strategy is ideal for sales of relatively expensive water treatment products such as reverse osmosis (RO) and Ultra violate (UV) technologies based devices. Hence, the rising adoption of such a strategy will propel market growth.
The increasing trend of consolidation in the South America water treatment equipment due to the rising number of partnerships is expected to propel the market growth. For instance, in October 2018, SUEZ announces the signature of 19 contracts in Ecuador, Colombia, Brazil, Mexico, and Costa-Rica. These contracts are part of the Group’s development drive in South America and the Caribbean, which account for 7% of its global turnover. With these new contracts, SUEZ strengthens its presence in water services management in large cities and develops in new markets of waste management and industrial services.
Key players operating in South America residential water treatment equipment market Eureka Forbes, Panasonic Corporation, LG Electronics, HUL Pure It, Koninklijke Philips N.V., Ceramica Stefani S.A., Lorenzetti S.A., PSA Industrias Pugliese S. A., Europa Group, Indústria Brasileira de Bebedouros Ltda. S.A.
Few Recent Developments
Panasonic Corp ADR
By Purification Devices