Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
De-aromatic solvents are hydrocarbon solvents that have low aromatic content around (<2%). They consist of iso-paraffinic, naphthene, and paraffinic compounds attached to them. De-aromatic solvents are majorly used across printing ink, industrial paints and coatings because they have very low VOC content and excellent faster-drying properties. Moreover, they are also used in the manufacturing de-aromatic insecticides and mosquitoes repellents. These solvents are much safer and eco-friendly products due to low VOC emissions.
The India de-aromatic solvents market is projected to reach around INR 6,931.1 million by the end of 2027, in terms of revenue, growing at CAGR of 7.4% during the forecast period (2020-2027).
Increasing demand for de-aromatic solvents for manufacturing of Household Insecticides, Mosquito Repellents, and aerosol is primarily fueling the market growth of the India de-aromatic solvents. In India, there are a number of insecticides and mosquito repellents, such as sprays, coils, and electric mosquito repellent products are available in the market due to strong demand for these products in the country.
Growth in the India paints and coatings industry in the country is expected to augment the
market growth over the forecast period. Rising demand for paints and coatings from residential as well as commercial sectors is expected to fuel the market growth. Moreover, rising demand for paints from industries such as automotive, marine, and railways is further expected to propel the India de-aromatic solvents market growth.
Figure 1. India De-aromatic Solvents Market Share (%) in terms of Value, By Sub-region, in 2019
West sub-region dominated the India De-aromatic market in 2019, accounting for 35.5% share in terms of value, followed by north and south sub-region, respectively.
Rising demand for eco-friendly product bio-based raw materials is expected to restrict the market growth of de-aromatic solvents over the forecast period. Moreover, according to the Coherent Market Insights, demand for greener alternatives, bio-based solvents market is slated to register a steady CAGR of around 6–8% over the forecast period.
Various manufacturers are focusing on increasing production capacity of de-aromatized in order to expand their presence in India. This is expected to offer potential growth opportunities in the near future. For instance, in 2017, Exxon Mobil expanded its production capacity by 250,000 tons for global hydrocarbon solvents. It produces a range of de-aromatic solvents in its facilities located in Singapore and Antwerp.
Growth in the chemical and petrochemical industry in India due to the increasing production of chemicals will favor the market growth of de-aromatized solvent over the forecast period. According to the Invest India, total production of major chemicals and petrochemicals stood at 27,847 MT during 2018-2019, a growth of 4.15% over 2017 to 2018. Thus, growth in the chemical industry in India is expected to augment the market growth.
Figure 2. India De-aromatic Solvents Market– Opportunity Analysis
The growing steel industry in India is expected to foster the market growth of the de-aromatic solvents. According to the India Brand Equity Foundation, India was accounted as a world’s second-largest steel producer@ with production standing at 106.5 MT in 2018. The growth in the Indian steel sector has been driven by the domestic availability of raw materials such as iron ore and cost-effective labor. Hence, growth in the steel industry is expected to fuel market growth.
Figure 3. India De-aromatic Solvents Market Share (%) in terms of Value, By Application, in 2019
On the basis of application in 2019, the paints, coatings & inks segment has accounted the largest market share of 43.2% in terms of value, followed by metal working and consumer products, respectively.
- Exxon Mobil Corporation
- Total S.A.
- Royal Dutch Shell plc
- Isu Exachem
- Mehta Petro Refineries
- Avani Petrocehm Pvt Ltd.
- Raj Petro Specialties P. Ltd.
- Eastern Petroleum Private Limited