Strategic Analysis of the European Membrane Bioreactor Markets

Frost and Sullivan , July 05

Membrane Bioreactors’ Unique Advantages to Help Lure Customers Away from the More Competitively Priced Conventional Technologies

Membrane bioreactors’ (MBRs) prices are considered prohibitive despite the constantly declining prices. This gives a cost advantage to the traditional technologies in the price-sensitive market, especially in the industrial and municipal segments and regions such as Iberia and Italy. MBR companies can achieve cost efficiencies by establishing local supply networks, developing local partners as well as training and utilising local workforce. MBR systems can also regain some of the marketing advantage by promoting their products’ small footprint and high efficiency treatment in processes such as nutrient removal. These features are expected to be popular among municipal customers that need to comply with regulations and tighten discharge limits. In the industrial segment, this product will find many takers for its ability to reuse and recycle treated wastewater as well as for its attractive payback periods.

This Frost & Sullivan strategic analysis examines European membrane bioreactor markets and segments it into municipal and industrial wastewater treatment markets. The study also discusses the major industry challenges, market drivers and restraints and potential threats faced by these companies along with a comprehensive analysis of the market. The research service enables companies to align their positioning strategies to benefit from the changing market and obtain maximum return on investment.

Stringent Discharge Limits and Need to Recycle Wastewater to Drive Growth in the Municipal and Industrial Segments, Respectively

The MBR markets have received a huge boost in the municipal segment with the Urban Waste Water Treatment Directive (UWWTD) requiring it to lower nutrient discharge limits. The ceiling for discharge is even more severe in the ‘sensitive areas’. MBR systems are ideal in such cases due to their high treatment efficiency, which help companies comply with norms and regulations. MBR systems also gain an edge over conventional systems with their ability to greatly reduce sludge.

"In the industrial segment, the implementation of Integrated Pollution Prevention Control (IPPC) in the food and beverage sector in 2004 has driven the demand for MBR systems," says the analyst of this study. "Moreover, IPPC’s thrust on application of best available technology (BAT) for treatment of wastewater and the aspect of favourable reuse and recycling has boosted the market for MBRs."

MBR Companies Need to Offer Diverse Prospects, Unique Treatment Solutions and Competitive Price Packaging

The $57.0 million MBR market is set to more than double its size over the next seven years. MBR manufacturers have to analyse and understand end-user specifics so that they can customise their products to suit unique regional characteristics. Some issues they need to consider while developing tailor-made products are water stress in the Iberian peninsular and specific application requirements including the complex effluents in the lucrative, yet untapped chemicals industries.

"Innovative service options such as rental and mobile MBR systems could be considered for targeting industries that are looking to minimise capital commitments on non-productive aspects such as pollution control," notes the analyst. "Ability to deliver product development, especially in terms of operational improvements, clearly dictates competitiveness in this market and can help to tap into emerging applications."