The market for industrial pumps will rise from $27 billion this year to $31 billion in 2007.  This is the new forecast displayed in the online Pumps: World Markets report published by the McIlvaine Company.  There are more than 10,000 pump companies manufacturing pumps with flows of a fraction of a gallon per minute (gpm) to more than 500,000 gpm.  Centrifugal pumps generate 73 percent of the revenues.  Diaphragm pumps generate 9 percent of the revenues.  The rest is split between reciprocating and rotary designs.

Many industries are purchasers.  However, municipal wastewater plants are the largest segment.  2007 sales of these pumps to move sewage to treatment plants and then through the treatment process and finally to move clean water back to the waterway will reach $6.8 billion in 2007.  Municipal water supply (drinking water) is the second largest segment, followed by the chemical industry in third place.  Refineries are the fourth largest segment, followed by power, and oil and gas. 

China is the fastest growing market.  The growth rate will be twice that of the total market.  The power and wastewater sectors will be particularly strong.  The U.S. market will benefit from a turnaround in the electronics industry and the requirement for power plants to install scrubbers.  Pumps for scrubbers will boost the power market in the U.S. by nearly 10 percent.

Pumps: World Markets matches its historical revenue estimates with the aggregate of the sales by individual suppliers.  The industry is fragmented.  There are more than 10,000 companies supplying pumps.  ITT is the largest with sales of $1.7 billion.  The top 10 are as follows:

                                                2002 Pump Sales        Company Ranking

                        Company            ($ Millions) ___             by Sales______

                        ITT                              1701                            1

                        Flowserve                    1030.5                         2

                        Grundfos                      1010                            3

                        Ebara                           1000                            4

                        KSB                              900                            5

                        Sulzer                             683.2                         6

                        Weir                               609.6                         7

                        Wilo AG                        584                            8

                        IDEX                             427                            9

                        Pentair                            400                           10

The pump revenues drop quickly as one moves down the ranking from here.  Davey Products is #100 on the list with sales of $35 million.  Flux is #200 on the list with sales of $15 million.  The average sales revenue for the 10,000 companies is $2.7 million.

For more information on Pumps: World Markets click on:  http://www.mcilvainecompany.com/water.html#N019 .

Bob McIlvaine

847-784-0012

www.mcilvainecompany.com