Global RFID Market Will Continue to Grow

Despite the global economic crisis, the global industry for radio frequency identification (RFID) technology has been steadily growing for past few years, and is expected to pick up pace before stabilizing and settling on a steady growth path, according to a new report by RNCOS, an industry research firm based in New Delhi, India. The report says the market is greatly benefiting from the excitement related to mandates, entry of new players, re-positioning of some companies as RFID-focused, new product and service launches, technology advances, standards evolution, partnerships and alliances, mergers and acquisitions, and general market awareness.

RNOCS forecasts that the global RFID market is expected to grow at a compound annual growth rate of approximately 28% from 2010 to 2013. The report found that the economic crisis will not stall the global RFID market, but growth in 2009 is expected to slow down to a third of that posted in previous years. The report also found the Americas to be the leading region in global RFID revenues, followed by Europe, Asia-Pacific and the MEA regions. In the coming years, the Asia-Pac region is expected to experience the highest growth in RFID revenues due to the rapidly growing use of the technology in China, Taiwan, India, South Korea, and Thailand, among others.

Within the RFID market, a major part of the growth has stemmed from the applications of RFID in various vertical segments, including transportation, government applications, and consumer packaged goods. However, other application segments such as security-based solutions, contactless payments, pharmaceuticals, and healthcare are in their emerging stage and are forecasted to drive growth in new markets.