Date: May 18, 2021 | 3:00 PM – 4:30 PM IST
Indian speciality chemical industry is currently valued at $32 billion and is expected to reach $65 billion by FY25. This segment constitutes about 18% of the total chemical industry in India. The industry's growth is mainly driven by consumption growth and export opportunity. Indian speciality chemicals industry has grown with a CAGR of around 11% from 2014-2019 and is expected to grow with a 12% CAGR in the next 5 years.
Currently, China constitutes 20 percent of the global speciality chemical industry ($800 billion), even a 5 percent shift in market share from China to India can translate into an $8-billion opportunity for the Indian speciality chemical companies. This can be easily achievable as the closures of many chemical units in China due to stricter environmental norms have affected the supply chain for many global players. This has prompted them to look for alternative sources.
Moreover, the production cost of Chinese chemical companies has also gone up due to increase in pollution control norms and this has narrowed down the cost differential between Indian and Chinese companies, to a certain extent. Thus, India can become another source of a Speciality chemical manufacturing hub.
India’s share in the global specilaity chemical markets stands at a meager 3%, creating a creating significant scope for growth. Also, some of the favorable scenario emerging for the Indian speciality chemical segment are : domestic availability of petrochemical intermediates, increasing capital expenditure incurred for expanding portfolio of value-added/customised products, backward integration and increasing R&D spends to enter into new age products and new chemistry.
Entry to the e-conference is extended only to professionals based on merit, please submit your registration form to apply for complimentary registration.
Key discussion points:
• Bridging the infrastructure gap
• Fragmented nature of the industry
• Leveraging India's cost advantage by investing in production for export and in R&D
• Setting up high growth aspirations
• Invest in developing the market in India
• Developing a special business model
• Shortage of feedstock supply
• Preparing for M&A