GCC security market vigilant over growth prospects

End users are becoming more aware of security requirements in the GCC

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There has been a ‘cautiously optimistic’ slowdown in the GCC’s security business as the market keeps a vigilant eye on its growth, a leading security expert from Schneider Electric said on Tuesday.

In an interview with MEP Middle East, Anant Berde, the vice president for buildings business for Gulf Countries, said that as end users became more and more aware of security requirements and product offerings, direct involvement on projects would increase.

“The market is continuing to grow, but more vigilantly. Security remains, however, an integral concern in this part of the world. The abundant natural resources make it imperative for governments to ensure the security of everything from their oil and gas fields through to the surveillance of urban centres. Any loss of service in these environments could have irreversible consequences,” he warned.

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As a result, Berde said that statutory and legislative requirements were already being implemented in the UAE. Another area that he feels is attracting concern from government authorities and security firms is that of cyber threats.

“With buildings, security systems and IT infrastructures becoming unified, this is one area where significant developments will have to be made,” he explained.

Following a relatively successful 2011, where the GCC, along with South America and Russia, accounted for 18% of the Schneider Group’s third quarter sales, with 10% year-on-year growth mainly driven by its IT and Power operations.

“Our building unit contributed 6.8% or $389m to group revenue, representing a healthy organic growth of 3% (from last year). In Q4, we’re expecting our growth to fall in line with our targeted range,” Berde said.

“Beyond 2011, the focus will be on achieving further solid margin and cash performance. We will continue to maintain growth and look to add value wherever possible,” he added.