Concerns over public safety and security lead to soaring demand for CCTV in India

Demand for CCTV is soaring in India following the gang rape and murder of a medical student in Delhi last month, according to the Associated Chambers of Commerce and Industry of India (Assocham).

Assocham reported yesterday on the results of a survey which they conducted among 200 companies and organisations in the CCTV industry in India. It said that demand for Chinese made CCTV surveillance cameras in the metropolitan cities “had gone through the roof”.

The rape and murder of a student on 16 December 2012 on a bus in Delhi highlighted serious concerns about public safety and security in India.

Assocham carried out the survey between 20 December 2012 and 20 January 2013 in the metropolitan cities of Bangalore, Chennai, Delhi, Hyderabad, Kolkata, Kanpur, Lucknow, Mumbai, National Capital Region (NCR-Ghaziabad, Gurgaon, Faridabad and Noida) and Pune.

These cities attract workers from around the country and the itinerant nature of the workforce make these areas more prone to crime.

There is little domestic manufacture of CCTV cameras in India, making security installers and integrators reliant on imports to satisfy demand. Cameras are being sourced predominantly from China, Taiwan, Malaysia and Israel but also from the US and Europe.

Even India’s few indigenous manufacturers are sourcing the components from overseas and selling them under local brands.

Sales of CCTV cameras – especially the cheaper Chinese brands – had increased 60 to 70 per cent in one month, Assocham said.

Meanwhile, domestic production is being hampered by lack of government support, absence of a regulatory framework and outdated technology.

“The need for safety and security in almost every walk of life has fuelled an overwhelming demand for CCTV cameras and more so after the Munirka gang-rape incident as hostels, paying guest accommodations, hotels and places alike in cosmopolitan cities are installing surveillance gadgets to keep a check on the movements of both the inhabitants and stalkers,” said D.S. Rawat, secretary general of Assocham.

Assocham believes the CCTV camera industry is going to emerge as a huge market in the next few years in the wake of rising demands from sectors like hospitality, services, healthcare, retail and transportation. Northern India is currently the biggest market, it said.

“Rapid economic growth and rising industrial activities amid security threats, fear of potential terrorist attacks has fuelled the demand for CCTV cameras evidently, as government authorities and even private sector are investing huge amount of money in installing CCTV to secure their offices and public places across the country,” said Rawat.

CCTV is the most sought after security system and apart from government, both at the central and the state levels, the private sector is also going to increase their expenditure on security surveillance. Assocham predicts domestic prices for installed systems will fall as the installation sector gears up to meet rising demand.

“Tier II and tier III cities, currently having a small proportion of security system installations, are going to emerge as the real growth drivers of this technology,” said Rawat.

“Public private partnerships (PPP) is a feasible solution to develop homeland security solutions to ensure safe, secure and smart cities, ports and highways,” he added.

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