The market for systems that clean up ballast water, which is used by ships to maintain balance, may expand more than sixfold in a decade, Frost & Sullivan said.
The market may reach as much as $3.14 billion by 2023, up from about $466.6 million this year, the U.K. consultants said today in a report. The expansion will be driven by two pieces of legislation likely to be enforced next year, they said.
Ballast water, used to maintain a ship’s stability as cargo loads change, contains biological organisms that can harm marine life when it’s discharged. Alfa Laval AB, Siemens AG and Hitachi Ltd. have all developed systems that treat this water.
From next year vessels in U.S. waters must be equipped with ballast-water treatment systems under the country’s Coast Guard requirement. The International Maritime Organization’s Ballast Water Management Convention is also due to be ratified in 2014.
Most of the increase in sales will come from bulk carriers and oil and chemical tankers, according to today’s report. Europe will lead revenue growth from 2017 to 2019, while shipbuilding hubs including Japan, China and South Korea will also be important markets, the London-based consultants said.