Overview
Israel is a well-developed and sophisticated market for homeland security equipment and services. Israel’s security-awareness and high level of preparedness are the driving forces for the development of the country’s cutting edge security industry. This is one of Israel’s fastest growing export industries. Israel has over 400 exporters of security technologies and services, including many integrators and service providers. The homeland security industry's annual sales are estimated at $5.5 billion, with exports accounting for approximately $2 billion. Imports are an estimated $650 million, with 65% U.S. market share. The 20 percent growth rate seen in 2007 and 2008 leveled off somewhat in 2009 because of the global financial crisis, but the local industry sees good growth potential for 2010. U.S. companies that want to participate in this sector should be knowledgeable of U.S. export control laws.
Best Prospects/Services
CCTV, X-ray systems and screening systems using alternative technologies, non-lethal weapons, sensors, biometric solutions
Opportunities
Israel is an attractive market for U.S. manufacturers of high-end equipment and of components that can be integrated into Israeli systems. Israeli manufacturers are important end-users of imported security equipment and components that are integrated into locally produced for-export security systems. In addition, many of the homeland security systems are sold to the Israel Ministry of Defense. These procurements are made with Foreign Military Funding (FMF), giving an advantage to U.S. manufacturers. U.S. suppliers dominate the imports with a 65% market share. The total imports of homeland security equipment and services are estimated at $700 million. Good opportunities exist for sophisticated equipment used in homeland security applications. U.S. security equipment, which enjoys an excellent reputation in Israel due to its high reliability, is often used for sensitive applications, by high-security industries and for key infrastructures and installations. The market offers good opportunities for U.S. exporters of high quality and sophisticated detection and screening systems, cctv, sensors, biometric solutions, x-ray systems, non-lethal weapons, etc.
