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Positive outlook for SLA battery market

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CIOL Bureau
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MUMBAI: Since 2004, there has been an upswing in the global economy driving several end-user segments such as backup power and telecommunication. This, in turn, has created a surge in capital spending, positively impacting the stationary lead acid (SLA) battery market.

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New analysis from Frost & Sullivan on World Stationary Lead Acid Battery Markets, reveals that the market earned revenues of $1964.4 million by 2006, and estimates this to reach $3219.6 million in 2013.

With businesses expanding globally, uninterrupted and high quality power supply becomes essential in all major industry sectors. This creates growth opportunities in the SLA battery market as batteries have long been deployed as a consistently effective and reliable source of superior power supply.

"SLA batteries are an integral part of any backup power storage device such as UPS systems, DC power systems, emergency lighting and alarms among others," explains Frost & Sullivan Research Analyst Suba Swaminathan. "Consequently the SLA market is currently experiencing increased investments in marketing campaigns to promote individual product brands."

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A consistently strong aftermarket, especially considering battery utilization in major sectors such as communications and security, also spurs the SLA market on. As most average batteries, with a lifespan of five to nine years, are utilized in products with long design lives, the aftermarket profits can exceed original profit margins.

However, the biggest driver influencing the SLA market is the revival of the telecommunications market, as this has triggered increasing deployments of backup power units at the rising number of cell sites and base stations. The boom in wireless communications and global data center and business opportunities is also promising an optimistic future for the SLA market.

Along with these market drivers, SLA batteries continue to remain ideal for bulk purchase and replacement despite escalating lead prices. The steady market and price stability confirm SLA batteries as the most affordable option for both small and large-scale applications, especially in the industrial arena.

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The other factors ensuring this loyalty and price constancy are the reliable nature of lead acid and the widespread adoption of SLA batteries.

In addition to attractive prices as compared with alternative energy storage solutions, loyalty from end users is evident as batteries continue to be an essential part of almost every industrial application. SLA batteries also continue to be the backbone of the energy storage industry, with an edge over contemporary alternatives in aspects of energy and power densities, cost, and reliability. This projects a sound and secure outlook for the SLA battery market in the near future.

CIOL Bureau

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