India Construction Chemical Market to Grow at 15% CAGR: TechSci Research

Chennai: The Indian construction chemical market is projected to grow at a CAGR of over 15 per cent during 2015-2020, due to increasing construction activities and rising government and private investments in infrastructure and real estate sectors, says a study.

According to TechSci Research report, “Construction Chemicals Market in India By Type, By Application & Competition Forecast and Opportunities, 2010 – 2020”,  the 100 per cent FDI in construction sector and the government’s ambitious projection of infrastructure investment amounting to USD one trillion by 2017 are expected to boost the construction chemical market during the next five years.

“Growing adoption of the green building concept and various proposed smart city projects is anticipated to fuel demand for construction chemicals market in India during 2015 - 2020. In August 2015, Government of India released a list of 98 smart city projects, which is expected to generate strong growth opportunities in India construction chemicals market in the coming years. The trend in India’s construction industry is gradually changing, with the interest of public and private investors gradually shifting towards high quality construction. Rising adoption of advanced construction technologies, raw materials and chemicals is anticipated to drive the country’s construction chemicals market during 2015 - 2020.”, said Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.

Changing consumer lifestyles, especially of the country’s robustly expanding middle class population, is driving demand for quality construction of residential structures, thereby augmenting demand for construction chemicals in India, the report said.

The real estate sector is accounted for the largest share in India construction chemicals market in 2014, on account of rising disposable income, increasing number of nuclear families and rising investments in both residential and corporate structures. This sector is expected to maintain its dominance in India construction chemicals market in the coming years, due to implementation of government policies such as 100% FDI in real estate business and ‘Housing for All by 2020’, the report further added.