Adhesives are used in almost every manufacturing sector right from flexible packaging to textiles and have gained widespread popularity across sectors, which comprises renewable energy, auto, aviation, construction, FMCG, healthcare and others. India adhesives market has recorded strong growth during the period FY’2010-FY’2015 and is expected to sustain its rapid growth during the next five years. Surging end user industries such as woodworking and furniture industry, growth in packaging market, increasing participation of global manufacturers, technical research and development and mounting investment in infrastructure development have enabled the industry to garner augmented revenues every year.
On the basis of technology; water based, solvent based, hot melt and reactive are the four types of adhesives. In FY’2015, the contribution of water based adhesives, to the total revenue generated has been the highest due to rising demand of environmental friendly adhesive solutions. On the basis of type of products, the India adhesives industry consists of polyvinyl acetate, acrylic, polyurethane, epoxy and EVA adhesives amongst which the polyvinyl acetate adhesives dominated the market
India’s adhesives market majorly comprises of a manufacturer, C&F agents, Distributor, Retailer and consumer. The difference between the cost to the manufacturer involved in the procurement of raw materials used for manufacturing the equipment and the sales revenue that is obtained is known as the manufacturer’s margin. However, because this market consists of large number of players/brands selling their products, the players compete on the basis of pricing strategies, so marketing and distribution plays important role.
The India Adhesive Industry has been segmented into Polyvinyl Acetate, Acrylic, Polyurethane, Epoxy and EVA on the basis of type of adhesives. Polyvinyl acetate adhesives have been the market leader in the industry. Common types of polyvinyl acetate adhesives include school glue and yellow carpenter’s glue. The widespread applications of polyvinyl acetate adhesive in the consumer segment have resulted in the highest market share of the product. On the basis of applications the India Adhesive Industry comprises of seven segments namely Packaging, Construction, Automobiles, Laminate, Footwear, Consumers and others.
In FY’2015, water based adhesives accounted for Majority of the overall adhesives market revenues in India. Consumers as well as manufacturers have become more aware of the impact of industrial production on the environment thus manufacturers have been working towards making formulations and processes of adhesives environmentally friendly and hazard free. In addition, government and environmental legislations to reduce volatile organic compound (VOC) emissions has derived the need for transformation from solvent based adhesives. One such example is the introduction of Water-based adhesives which uses water instead of harmful solvents to suspend the adhesives so it is much less irritating to human skin and non-flammable.
For further details follow the below mentioned link: