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Booming Construction Industry Backed by Strong Economy to Boost Growth in Indian Construction Chemicals Markets - New analysis from Frost & Sullivan, Indian Construction Chemicals Markets, finds that the market revenue was estimated to be Rs 10.0 billion in 2006 and is likely to reach Rs 40.0 billion by 2013
Booming Construction Industry Backed by Strong Economy to Boost Growth in Indian Construction Chemicals Markets

 

PRZOOM - /newswire/ - Mumbai, India, 2007/10/30 - New analysis from Frost & Sullivan, Indian Construction Chemicals Markets, finds that the market revenue was estimated to be Rs 10.0 billion in 2006 and is likely to reach Rs 40.0 billion by 2013.

   
 
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Construction chemicals, which were almost non-existent in the Indian construction industry around ten years back, are gaining increasing importance. Surging construction activity and 100 per cent FDI in real estate are giving a fillip to the construction chemicals markets in India, which grew by an estimated 24.1 per cent in 2006. Any company that realises the importance and potential of this nascent market – projected to grow at a compound annual growth rate (CAGR) of 21.9 per cent from 2007 to 2013 – can capitalise on considerable growth opportunities.

New analysis from Frost & Sullivan (chemicals.frost.com), Indian Construction Chemicals Markets, finds that the market revenue was estimated to be Rs 10.0 billion in 2006 and is likely to reach Rs 40.0 billion by 2013.

If you are interested in more information on this study, send an email to Remi Chaterjee/ Nimisha Iyer, Corporate Communications, at remi.chaterjee[.]frost.com/ niyer[.]frost.com with your full name, company name, title, telephone number, fax number, and email address. Upon receipt of the above information, we will contact you.

"The Indian Government’s approval for allowing 100 percent FDI in the real estate sector has given a major boost to the already fast growing construction industry," note Frost & Sullivan Industry Analyst Dominic Britto."Construction chemicals accounts for only 2 percent of overall construction costs, but the benefits are in multiples; rising awareness about such advantages coupled with the growth in the construction industry is set to drive the Indian market for construction chemicals."

The construction industry is the key end user of construction chemicals that includes construction of infrastructure, industries, as well as commercial and residential buildings. Construction chemicals are also used for repair and maintenance of these structures and comprise around 11 per cent of the total demand. Rising awareness, changing lifestyles and, most importantly, the increasing spending power of end users will be the key drivers in the sustained expansion of the Indian construction chemicals market.

At present, the absence of quality standards for the manufacture as well as application of construction chemicals is a major challenge. This has the potential of leading to price wars at the cost of quality, thereby eroding margins to such an extent that new companies might be reluctant to enter this market. This is further likely to lead to highly unsatisfied end users getting substandard products and services and will have a major impact on the industry as a whole.

"To succeed in a situation where established quality standards are lacking, companies need to develop their own standards and build powerful brands that will not only promote awareness about the benefits of construction chemicals, but also set standards for the industry to follow," advice Britto. "These companies can also take advantage of being first movers in the market."

Indian Construction Chemicals Market is part of the Chemicals & Materials Growth Partnership Service programme. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.

About Frost & Sullivan
Frost & Sullivan, the Growth Consulting Company, partners with clients to accelerate their growth. The company's Growth Partnership Services, Growth Consulting and Career Best Practices empower clients to create a growth focused culture that generates, evaluates and implements effective growth strategies. Frost & Sullivan employs over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 30 offices on six continents.

 
 
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Booming Construction Industry Backed by Strong Economy to Boost Growth in Indian Construction Chemicals Markets

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