Market Research Report : Paint Industry in India 2011

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For the complete report, get in touch with us at : info@netscribes.com The paint industry in India is driven by growth in not only construction activities but also in automotive industry. Media exposure and innovative marketing initiatives by the players have only added to increasing awareness about latest trends prevalent in the sector. Due to increased Government funding for infrastructure, demand for paints both in industrial and decorative segment is set to rise, thereby rendering Indian paint industry to be poised for further growth. The report begins with an overview of the paint industry in India including market size and growth. A clear indication of revenue break-up in terms of different types of paints has also been highlighted. This is followed by a supply chain analysis of the industry following which there is a section on the key constituents of paints. Additionally, the different types of paints available in the Indian market have been covered. This is followed by information regarding the sales and distribution channels adopted by the manufacturers in the country. This section is concluded with an analysis of the market through Porters Five Force model. The section on EXIM provides an overview to the imports and exports. It covers the overall imports and exports as well as the segmented share by major countries participating in trade. An analysis of the drivers explains the factors for growth of the market including growth in real estate construction, growth in automotive industry, growth in industrial sector, growth in disposable income, low penetration and increased Government expenditure on infrastructure. India is an emerging economy and with a rising GDP. GDP growth relates to growth in industrial activities and infrastructural developments. Aided with increased Government spending on infrastructure in India, market is optimistic about its impact on the paint industry. For new constructions, paint has become an integral component of the development stage. Another factor boosting the market is the growth in the automotive industry which creates huge demand for industrial paints. Further, with enhanced level of communication in terms of media exposure, awareness about latest trends governing the sector has reached a whole host of consumers. Fulfilling needs to look unique becomes possible with more disposable income at the hands of people which is seen to be on an upward trend. Moreover, low per capita consumption of paints in India provides enough opportunity for further growth in this sector. However, the sector is also facing certain challenges. Factors like rising input prices and stringent environmental regulations pose as a barrier for growth. A section on certain initiatives governing the sector has also been highlighted. Major Government initiatives as well as industry regulations have been detailed which provides the necessary thrust to the sector for its growth. The major trends indentified in th

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<ul><li> 1. PaintIndustry IndiaPaint Industry IndiaSeptember2011</li></ul> <p> 2. ExecutiveSummary PaintindustryinIndiaisexpectedtoreachINRX1in20 ThesegmenthasbeeninapositiontosustaindownturnsdespitetheglobaleconomicrecessionMarket ThissectorhascontinuouslyrecordedagrowthofX2timestheG1growthrateofIndia Analysis1speaksofconduciveconditionsavailableforfurthergrowthoftheindustry DriversChallenges Growthinrealestateconstruction Increaseininputprices Growth in automotive industryGrowthinautomotiveindustry St i Stringentenvironmentalregulations t it ll tiDrivers&amp; Growthinindustrialsector Challenges Increaseindisposableincome Lowpenetration IncreasedGovernmentexpenditureoninfrastructure i f t t Colorexperimentation Newtrademarksandpatentsfloodthe Customerparticipationwithvalueadded sector Trends services Increasingdemandforemulsions Environmentfriendlypaint SmallsizepacksMajorPlayersCompetitionPlayer1 Player2Player3 Player4 Player5Player6PAINTINDUSTRYININDIA2011.PPT2 3. MarketOverviewImportExportDrivers&amp;ChallengesDrivers &amp; ChallengesInitiativesTrendsCompetitionStrategicRecommendations PAINTINDUSTRYININDIA2011.PPT 3 4. Indianpaintsindustryhasbeensuccessfulinregistering doubledigitgrowthfigures PaintsIndustry Overview MarketSizeandGrowth Despiteglobaleconomicrecession,thissectorhas INR bn beenabletoovercomedownturnsduetohigh Q1,0001 000 demand1anddecreasingdependenceondemand2y%800 IndianpaintsindustryisestimatedtotouchINRX1600 by20400 ThissectorhascontinuouslyrecordedagrowthofY1 P200 timestheGDPgrowthrateofIndia 0 Indiaranksbelowonlytocountry1andcountry2in20-- 20-- termsofproductionofpaints,whileitranked2nd onlytocountry3intermsofgrowthrateof RevenueBreakdown(2010) productiond t%Type 1 Demandforpaintsispriceelasticandisconnected s% Type 2 withX3andX4growth Type 3 LowY2consumption,incomparisontootherr% Type 4 developingnations,createsstrongopportunityfor p% Type 5 playersinthemarket q%Source:PAINTINDUSTRYININDIA2011.PPT 4 5. Drivers&amp;Challenges SummaryDriversGrowthinrealestateconstructionGrowthinautomotiveindustry ChallengesGrowthinindustrialsectorIncreaseininputpricesIncreaseindisposableincomeStringentenvironmentalregulations Stringent environmental regulationsLowpenetrationIncreasedGovernmentexpenditureoninfrastructure PAINTINDUSTRYININDIA2011.PPT 5 6. Trends SummaryColourExperimentationCustomerparticipationwithvalueaddedservicesEnvironmentfriendlypaints KeyTrends `NewtrademarksandpatentsfloodthesectorIncreasingdemandforemulsionsSmallsizepacks PENSIONFUNDMARKETININDIA2011.PPT 6 7. PlayersintheMarket(1/9) CompanySnapshot:Company1CorporateInformation FinancialPerformance Headquarters H d tPlace1,Country1Pl1 Ct 1RevenueINR bnProfit / Loss INR bn Founded19 1,500600 Q400 Products Product1,Product2 1,000 RS P200 500 Capacity C1(20) 00 -200 KeyPeople Person1 Position120-- 20--20-- 20--BusinessHighlightsBusiness Highlights Hasoperationsinmorethan countrieswithanemployeestrengthof peoplearoundtheworld ItmanufacturesandmarketspaintproductsunderX1brandnameinIndia Has registered a Y1% volume CAGR during the period 20 HasregisteredaY1%volumeCAGRduringtheperiod20 Hasanetworkof dealersandhasconvertedmorethan outletsintocentre1thatprovidesservice1andservice2 withavisiontomakepaintinganexperiencewithfun Centre1havereportedanaverageincreaseofY2percentinfootfallsascomparedtotheotherdealershipspg p p p Launchedproduct3,anexteriorpaintproductinFeb20Source: PAINTINDUSTRYININDIA2011.PPT 7 8. ThankyoufortheattentionThePaintIndustry IndiareportispartofNetscribesConsumerGoodsSeries.Formoredetailedinformationorcustomizedresearchrequirementspleasecontact:GauravKumarGaganUppallPhone: +913340646214 Phone:+912240987530EMail:gaurav.kumar@netscribes.comEMail: gagan.uppal@netscribes.comResearchonIndiaisaproductofNetscribes(India)Pvt.Ltd.ResearchonIndiaisdedicatedtodisseminatinginformationandprovidingquickResearch on India is a product of Netscribes (India) Pvt Ltd Research on India is dedicated to disseminating information and providing quickinsightsonhotindustriesinIndiaandotheremergingmarkets.TrackournewreleasesandmajorupdatesintheseindustriesonAboutNetscribesNetscribesisaknowledgeconsultingandsolutionsfirmwithclienteleacrosstheglobe.Thecompanysexpertisespansareasofinvestment&amp;ggf g p yp pfbusinessresearch,business&amp;corporateintelligence,contentmanagementservices,andknowledgesoftwareservices.Atitscoreliesatruevaluepropositionthatdrawsuponavastknowledgebase.Netscribesisaonestopshopdesignedtofulfilclientsprofitability andgrowthobjectives.Disclaimer:Thisreportispublishedforgeneralinformationonly.Althoughhighstandardshavebeenusedthepreparation,ResearchonIndia,Disclaimer: This report is published for general information only Although high standards have been used the preparation Research on IndiaNetscribes(India)Pvt.Ltd.orNetscribesisnotresponsibleforanylossordamagearisingfromuseofthisdocument.ThisdocumentisthesolepropertyofNetscribes(India)Pvt.Ltd.andpriorpermissionisrequiredforguidelinesonreproduction.PAINTINDUSTRYININDIA2011.PPT 8 </p>