In the last two years, the paints & coatings industry in India (and worldwide) has faced challenges due to the COVID-19 pandemic. In spite of this, new investments and capacity expansions have not slowed down in the Indian paint & coating industry.
In addition to that, the market is divided into Decorative and Industrial sectors. The decorative market consists of emulsions & enamels, cement paints, primers & thinners, and ancillary products. Industrial paints include general industrial paints, automotive coatings, powder coatings, OEM paints, etc.
India’s paint industry grew 11 percent CAGR (compound annual growth rate) between FY11 and FY19. About 74 percent of total paint sales are attributed to decorative paints, which are the largest segment of the paints industry.
In Q1FY21, nearly no business was conducted because of the pandemic, and in Q1FY22 the business was affected by the second wave. In Q2FY22, sentiments improved faster than expected due to a faster recovery.
There has been a gradual shift in people’s preferences from traditional whitewash to high-quality paints such as emulsions and enamels, which provided basic stability to the Indian paint industry.
Market Size For Indian Paint Industry
Moreover, it creates a highly competitive market for the Indian paint industry, where players are utilizing different strategies to capture a larger share of the market. A significant driving force behind the growth of the Indian paint market is the rising disposable incomes of the middle class, along with an increase in education investment, urbanization, rural market development, and the launch of many innovative products, such as dust and water-resistant and friendly paints.
Over the period of FY 2017-18 to FY 2022-23, the Indian paint Industry market is expected to grow with over 75000 crores in value due to changes in lifestyle, urbanization, and higher levels of education, as well as high margins on paint.
The report “India Paint Industry Outlook 2025” analyses the Indian paint industry by value and volume, which is forecast to grow at a CAGR of around 10% between 2021-22 and 2024-25.
