Latin America's smart water management market is estimated to grow at a CAGR of 9.9% during the forecast period (2024-2031). The market growth is driven by the growing need for conservation of water resources. Additionally, government initiatives and global associations are contributing to market growth. In Latin America, most of the southwest region has been witnessing water scarcity owing to deserts. The Latin America smart water management market is segmented by product (hardware, software, and services), and by application (residential, commercial, and industrial).
Market Dynamics
- IoT is gaining popularity for advanced metering solutions across the region. It aids in the maintenance of the equipment so that the communities are supplied with clean water.
- Developing economies such as Brazil, Argentina, Mexico, and others promise growth for the Latin America smart water management market.
- The industrial segment is anticipated to hold a considerable market share during the forecast period. This is attributed to the industries’ efforts to reduce water consumption. Many factories are adopting SWMs to enhance efficiency and reduce water consumption. Additionally, increasing investments in smart factories is expected to contribute considerably towards market growth.
The major players in the Latin America smart water management market include Itron Inc., Sensus, Arad Group, Badger Meter Inc., and Diehl Stiftung & Co KG among others. The market players are contributing significantly to the market growth, by the adoption of various business strategies, such as collaborations, mergers and acquisitions, product portfolio diversification, and more.
Recent Developments
- In March 2024, Mexico rolled out the smart water-metering plan. The plan addresses the key water management challenges facing Mexico, including water scarcity and losses. The initiative is part of an alliance between WaterMeter Corp, WND Mexico, and UnaBiz.
- In March 2024, the Inter-American Development Bank Group (IDB Group) in partnership with the members of the Source of Innovation alliance organized the AquaCerta Challenge to strengthen the water systems in Latin America and the Caribbean, to ensure access to safe drinking water. Ainwater, from Chile, and Cuencas Sustentables, from Bolivia together with Fundación Natura Bolivia, won the challenge. The projects will be considered for funding between $250,000 and $400,000 for plan implementation in the target countries.