Adhesives & sealants market to touch US $5 billion by 2030

The high growth potential of the industry reflects from the fact that automotive, aerospace, and electronics all depend on this industry

As a head of the company that is one of the biggest manufacturers of adhesives and sealants, I believe that the industry is at the cusp of breakthrough growth, says Bharat Puri, Managing Director, Pidilite Industries Limited who likens the importance of such products to other industries as salt and food.

“It doesn’t matter what the industry is, whether it is furniture, automotive, solar, EV (Electric Vehicle), aerospace, the fascinating thing is none of the products in these industries are possible without adhesives and sealants. If we take the example of electronics, adhesives are playing a crucial role to ensure the products in the segment function in a way they are supposed to. Therefore, when India looks at becoming a manufacturing hub, the adhesives and sealants are the engine areas that are going to grow in a huge way, and as per our estimations, it would be one or two times more than GDP. The aspiration for 15 percent growth is quite achievable. If the government continues with schemes like PLI, it will surely help the industry grow consistently. The time is ripe for a national policy forum as it has been long overdue. Since all the infrastructural activities are based on high grade adhesive and sealants, we expect the government to give it a fillip as besides the domestic requirements, there is also a huge export potential,” added Puri. 

Puri spoke at the session on ‘Enabling Growth through Innovation and Sustainability’ at the first edition of Adhesives and Sealants Summit and Expo 2021 organized by Confederation of Indian Industries (CII).

“Adhesives and sealants is a large industry globally. The adhesive sand sealants products and solutions enable tremendous flexibility in product design, improve manufacturing processes and build robust products across a variety of industries including consumers and Do It Yourself. Given the nature of the input materials such as chemicals that go into the manufacturing of these products, there is a major role for this industry to play to advance the priorities of sustainability and green,” says Ramesh Ramadurai, Chairman, Adhesives and Sealants Summit & Expo 2021 Chairman, CII Karnataka State Council & Managing Director, 3M India Limited.

“The chemical industry is looking at a US $300 billion target by 2030 from the current US $178 billion. Adhesives and sealants industry too should look optimistically at the US $5 billion figure. The high growth potential of the industry reflects from the fact that automotive, aerospace, and electronics all depend on this industry. We have a huge export potential and that makes the establishment of a separate division of adhesives and sealants necessary. We are working closely with the Department of Chemicals and Petrochemicals (DCPC) and a lot of suggestions are being provided in this regard. If we have sufficient protection in terms of quality, tariff barriers and government policies, we can certainly grow at 15 percent rate from the current 8.07 percent, contributing to the 5 trillion economy target set by the government,” says M. Ponnuswami, Chairman, CII SR Policy and EODB Sub-committee and Chairman & Managing Director,  Pon Pure Chemicals.

“There is an investment worth Rs. 8 lakh crore in offing within the petrochemical sector. Many states such as Tamil Nadu, Andhra Pradesh and Orissa are promoting themselves as chemical manufacturing hubs with their set of incentives and fast-track approval systems including portals. There is a lot of coordination happening between central agencies and state governments which was unseen and unheard of earlier. We must use the opportunity to promote the adhesives and sealant industry. One of the challenges is the hindrance in availability of the raw material for adhesives and sealants but we will be able to solve it. There are a lot of foreign companies that are coming in and with time the necessity to import the products will decrease. The self-certification and self- regulation need to be allowed as the investors should see the time bound approvals. We must use the national single window system set for approvals by DIPP and share suggestions,” concludes Ponnuswami.