Airport security upgrades in the Middle East expected

The surge in tourism has caused air traffic to hit new highs in the Middle East. However, the spurt in passenger numbers brings with it increased security concerns. New analysis from Frost and Sullivan, Middle East Airport Security Market Assessment, finds that the market earned revenues of $34.7m in 2008 and estimates this to reach $57.7m in 2015.

Airports have been upgrading their security systems to comply with the new government regulations and prepare for the escalating terrorist threats in the region.

"Most Middle East Airport upgrade projects are long-term projects, executed in short-term phases," says Frost & Sullivan Research Associate Mirnalini Kumaran. "The market is expected to grow between 6% and 8% for the next five to eight years."

However, some airports are reluctant to spend on security systems due to tighter budgets, complex procurement patterns and inconsistent security policies, causing a dip in security solution vendors' revenues. Further, the intensifying competition has constricted the margins of market participants. They can offset these issues and command premium prices through value-added services, product differentiation and innovation.

"Market participants should start providing new technology equipment and integrated solutions and also adopt efficient supply chain and competitive strategies," notes Kumaran. "Technological innovations also have a significant role to play in the adoption rates and advances in biometric identification and surveillance bode well for the market."