Market Brief for Egypt
The Safety and Security market is doing well in Egypt and it is expected to increase steadily in the coming years. This market is very much dominated by the Ministry of Interior (especially Police Officers). One of the main goals of the Government of Egypt is to participate effectively in the National Program for Technological Development as it relates to Safety and Security. The government is looking now for specialized companies working in the field of security and other related business and it wants to become acquainted with the most up-to-date security technology available.
The Ministry of Interior is doing its best to create new horizons for investment in security technology within the Egyptian market to establish advanced industries in this field. Being abreast of the latest innovations in this market is a primary goal for the police agencies as well as the various companies and corporations working in the field. Companies with a reputation for cutting-edge technologies will have an advantage here.
Although Egypt has always been a price sensitive market, quality is also an important factor especially in the field of Security. Because of the quality consideration, the main suppliers to the market are from advanced countries, mainly the USA, UK and Germany.
The Ministry of Interior will have its 6th Internationl Exhibition for the Technology of Security Feb. 13-16, 2005. This show is considered to offer the best entrée for new companies in the market and U.S. companies would be welcome. For further information on Egypt's market for safety and security equipment and services, please contact Commercial Specialist Venice Kostandy at phone: 20-2-797-3482, fax: 20-2-795-8368, email: venice.kostandy@mail.doc.gov
Market Brief for Israel
Israel has a well-developed market for security equipment and services, estimated at $790 million. With the ongoing hostilities in the West Bank and Gaza and a continuous high level of terror threats, Israel’s security-awareness and level of preparedness are high. In the foreseeable future, Israel’s security needs are expected to remain strong.
With increasing demand in domestic and overseas markets, a strong local industry of approximately 600 companies has developed. Many of these are integrators and service providers. In 2003, Israel’s civilian security industry exported approximately $600 million worth of equipment and services. The main export items were security services and integrated perimeter protection systems. Services accounted for over 40% of the export value. Israeli manufacturers are important end-users of imported security equipment and components that are integrated in the locally produced and exported security systems.
The import market, estimated at $260 million has a 70% U.S. market share. East Asian manufacturers compete strongly in the commercial and household sectors, while U.S. exporters dominate the market for sophisticated equipment used in homeland security applications. U.S. security equipment enjoys an excellent reputation in Israel, due to its high reliability. It is often used for sensitive applications, by high-security industries, utilities, airports, ports, etc. The market offers good opportunities for U.S. exporters of high quality and sophisticated detection and screening systems, sensors, x-ray systems, non-lethal weapons, etc.
For additional information on the Israeli market for safety and security equipment and services, please contact Senior Commercial Specialist Irit van der Veur at phone 972-3-519 7540, fax: 972-3-510 7215, e-mail: irit.vanderveur@mail.doc.gov
Market Brief for Jordan
The Jordanian Government is steadfast in its efforts to maintain internal security amid unrest in neighboring Iraq, Saudi Arabia, and the Occupied Territories. Local business and government contacts confirm that there will be a significant increase in demand over the next few years for high-quality security equipment in several major product areas including surveillance, detection, and access control.
Currently commercial sales for security sector products and services originate from five separate Jordanian Government entities in the following order of magnitude: the Public Security Directorate, the Civil Defense Department (both within the Ministry of Interior), the General Intelligence Department, the Special Operation Command, and the Airport Security Unit (within the Jordanian Armed Forces).
- The Public Security Directorate constitutes uniformed police and undercover officers tasked with border security responsibilities ranging from drugs and weapons smuggling to illegal entry of non-Jordanians.
- The Civil Defense Department enforces safety codes in hotels, factories, and other large buildings. It also spearheads fire and natural disaster protection efforts in Jordan.
- The General Intelligence Department consists of numerous specialized units engaged in the gathering and process of intelligence from electronic sources and human sources both inside and outside Jordan.
- The Special Operations Command consists of specialized units involved in identifying and eliminating internal terrorist and criminal threats, and used to be headed by King Abdullah II.
- The Airport Security Unit upholds all areas of air safety within Jordan. This includes baggage control, passenger scanning, and the physical security of aircraft in Jordan.
These five entities frequently work together in maintaining security in Jordan, and therefore commercial sales will often involve more than one entity. CS/Amman maintains good contact with reputable Jordanian firms in the security sector who could act as agents and distributors for American security sector firms. However, virtually no commercial transactions of security equipment or services of any kind occur without the involvement of at least one of the above Jordanian Government bodies.
It should be noted that U.S. security sector firms must apply for and obtain export licenses to sell goods on the U.S. Government commodity controlled list to Jordan. For further information, please consult the U.S. Department of Homeland Security’s Bureau of Industrial Security at http://www.bis.doc.gov.
Currently British and French security sector firms have the strongest presence in the Jordanian market. Companies from both countries maintain an active physical presence in Jordan, and the French Government appears particularly aggressive in applying diplomatic resources towards increasing French company market share. A number of German security sector firms are also engaged in Jordan, especially via government-to-government assistance. U.S. firms have a small presence in the Jordanian market thus far, but the demand for high-quality, market-proven American security equipment and services is expected to rise significantly over the coming years.
U.S. security firms may find lucrative opportunities in a number of ongoing projects in Jordan, as well as projects expected in the short term and long term. The Jordanian Government is currently implementing the C4ISR project, which is designed to provide an integrated security and defense system for Jordan through the Jordanian Armed Forces. Several major U.S. security sector firms are engaged in this project. There is also an imminent need for internal surveillance and interception equipment, as well as airport scanning equipment and hazardous material/weapons detectors for trucks at ports.
In the short term, CS/Amman expects opportunities for U.S. firms in the areas of comprehensive urban surveillance and monitoring, and CCTV and building access control equipment and strategies. There will also be a growing need for eye and hand biometrics. The major long-term security project in Jordan is the Border Security Project. This large project will integrate thermal imaging and detection equipment, communications, and physical barriers along the borders with Jordan’s neighbors. Particular attention is being placed on the Syrian and Saudi borders, given the magnitude of weapons and drug smuggling at these points.
For additional information on the Jordanian market for safety and security equipment and services, please contact Commercial Specialist Fareedon S. Hartoqa at phone: 962-6-590-6053, fax: 962-6-592-0146, e-mail: fareedon.hartoqa@mail.doc.gov
Market Brief for Lebanon
The safety and security market in Lebanon is good and is expected to grow steadily in the coming years. With the ongoing instability in the region and continuous terror threats, Lebanon’s demand for internal security remains high.
The safety and security market in Lebanon is very much dominated by the Ministry of Interior, the Civil Aviation Authority and Customs Authorities. These government entities, as well as the various Lebanese companies working in this field, are always looking for the most up-to-date security technology available. The Ministry of Interior, which includes the Internal Security Forces and Surete Generale, is tasked with internal and border security responsibilities ranging from internal safety to drugs and weapons smuggling and illegal entry of foreigners to Lebanon. The Civil Aviation Authority and Customs Authorities maintain several areas of safety including baggage control, weapons detection, passenger scanning, and the physical security of the aircrafts.
The American, British, French and German security firms are very well represented in the Lebanese market. East Asian products also compete strongly in the commercial and household sectors. However, the increasing demand for high-quality security equipment and services gives a big advantage to American companies, which enjoy an excellent reputation in Lebanon due to their high reliability. They are often used for sensitive applications by high-security industries, banks, and airport. Some U.S. security firms are already pursuing opportunities with many Lebanese government agencies such as the Ministry of Interior, the Civil Aviation Authority and the Central Bank of Lebanon.
It should be noted that U.S. security sector firms must apply for and obtain export licenses to sell goods on the U.S. Government commodity controlled list to Lebanon. For further information, please consult the U.S. Department of Homeland Security’s Bureau of Industrial Security at [www.bis.doc.gov]
For additional information on the Lebanon market for safety and security equipment and services, please contact Senior Commercial Specialist Naaman Tayyar at phone: 961-4-544860, fax: 961-4-544894, e-mail: naaman.tayyar@mail.doc.gov
Market Brief for Morocco
The market for security and safety equipment and services in Morocco presents excellent opportunities to U.S. firms. The demand is expected to increase rapidly (20-30%) in the next two years, with international security concerns as well as the country's economic growth and industrialization, which call for replacement of aged equipment. In addition, Morocco signed all international agreements on terrorism, homeland and port and airport security. Port and airport development in Morocco will be the most prominent driving force for sales of U.S. equipment and services.
Safety concerns and regional political issues, coupled with increased air traffic in the region, have led the Moroccan Civil Aviation Administration to adopt a proactive policy towards airport security for passengers and airport workers. Morocco has sixty-three airports, eleven of which are international airports, which serve passengers and cargo traffic. The National Airport Authority is planning an extension of the Mohammed V international airport in order to increase the capacity of passengers from 3.5 to 7 million annually by 2010. The market for U.S. exports of airport security equipment and systems could reach $21.44 million. There will be a need for a wide range of equipment, including centralized and networked security ID systems, CCTV cameras, access control systems, security command posts and communications centers, cipher locks, automated explosive detectors, and X-ray equipment. Recently, the port authority issued the first Moroccan tender for procurement of scanners. Other tenders will be launched in the upcoming months to equip the main Moroccan ports.
The National Ground Transportation Security Office launched an international call for interest and is planning to issue the international tender for the purchase of chip cards to replace traditional cardboard paper driving licenses and automobile IDs. The Ministry of Interior is interested in using smart technology IDs and issuing new passports with laminated film for better security control and identification. The National Security Department (Direction de la Surete Nationale) is also looking at renewing its old radio-communication system. The primary end-users or security and safety equipment are government ministries and agencies: Ministry of Interior, the National Airport Authority, the National Port Authority, the National Police Department, Royal Security, and the Military. However, large multi-nationals and parastatals, banks, insurance companies, major hotels and institutions are steadily becoming end-users, with a demand for surveillance cameras, access control equipment, x-ray equipment, and portable radios.
High quality U.S. safety and security equipment has an excellent reputation in the Moroccan market. Third-country competition, which traditionally came from Europe, is expected to move toward U.S. equipment, with the recent signature of the U.S.-Morocco Free Trade Agreement.
Market Brief for Turkey
Turkey’s domestic manufacturing of safety and security equipment is negligible and the market is almost entirely dependent on imports. American suppliers of safety and security equipment enjoy an excellent reputation for quality, reliability, price and after-sales service. U.S. market share today is around 80 percent followed by Germany (14%) and Israel (6%). The total market for Safety and Security in Turkey is estimated to be close to 600 Million USD.
The future growth in market share depends mainly on EU standardization, marketing efforts and financing capabilities. While there are no specific non-tariff trade barriers to this market, contractors usually require that foreign equipment suppliers have local representation for after sales service. On January 1, 1966, Turkey and the European Union (EU) established a customs union to provide duty-free trade between Turkey and the 15 European Union members. Products including industrial equipment and airport security and safety equipment are covered. In 2001, Turkey adopted EU product standards legislation.
Compliance with the requirements set by these EU directives make products eligible to carry the CE (Conformite Europeenne) mark. The CE mark means that the product can be freely marketed anywhere in the EU without further control. Turkey recognized the European Union’s "CE" mark for some 750 products signifying that products are manufactured according to EU product standards. For products that carry the CE mark, the Turkish Standards Institute grants a conformity document prior to import.
European countries are the main competitors to the United States, and they are expected to increase their market share due to their EU compliance, competitive prices, attractive soft credit terms, and modern technology. In order to keep a competitive edge, European companies invite Turkish decision-makers to visit their country to provide training for the professional technicians.
With the construction of five new terminals for various airports of Turkey, a substantial increase in imports is expected within the next three years. Please register with Ihsan.Muderrisoglu@mail.doc.gov to be included in the suppliers’ list that will be given to the General Directorate of State Airports Administration, early 2005.
For additional information on the Turkish market for safety and security equipment and services, please contact Commercial Specialist Ihsan Muderrisoglu at phone 90-312-455 5555, ext. 2567, fax: 90-312-467 1366, e-mail: Ihsan.Muderrisoglu@mail.doc.gov
Market Brief for West Bank and Gaza
The West Bank and Gaza (WB/G) is home to approximately 3.8 million Palestinians and has a population growth estimated at about 3.5%. Despite ongoing political problems in the area, the influence of Palestinians familiar with American culture opens the door to numerous opportunities for American companies in establishing agents, distributors, and partners to sell U.S. safety and security equipment and services.
The market for safety and security equipment in the WB/G is estimated at $2 million and is dominated by imports coming from Taiwan, U.K., France, and the United States. The market for such equipment has shrunk sharply in recent years due to the outbreak of the Intifada in October 2000. However, as the political conditions improve in the WB/G, the demand for security equipment will grow considerably.
There are no restrictions on importing safety and security equipment into the WB/G and the Palestinian Authority is beginning to develop a formal tendering and bid process for government contracts. The Palestinian Ministry of Interior (the Palestinian Police in particular) is the main end user of security equipment followed by banks, hotels, and foreign representative offices. Good sales potential exists for closed circuit TV, ID systems, data cards, surveillance systems, fire alarms, sirens, burglar alarms, metal detectors, and access controls.
For further information about the Palestinian market for safety & security equipment, please contact Assad Barsoum, Commercial Specialist, U.S. Commercial Service in Jerusalem, phone: 972-2-625-4742, fax: 972-2-623-5132, or e-mail: assad.barsoum@mail.doc.gov