The paint industry comes under consumer cyclical group. It’s a non- commodity type industry.

Industry Strengths

Growing domestic demand in India with rapid development of housing sector.

The industry is involved in technological advancement and hence provides its consumers with vast verity of colours and shades.

Due to availability of latest technology, companies manufacturing paints are able to produce
quality products, durable and with better protection.

Industry Weakness

The industry is negatively impacted by rise in crude prices as crude derivatives form a significant part as raw material input apart from certain resins, chemicals and pigments.

The industry is negatively impacted by weak Indian rupee as mainly the raw materials are imported.

They are negatively impacted by high inflation as higher sales price could dampen the demand from consumers which could move to cheaper alternatives such as white wash.

Growth Drivers

Growing middle class income and its rate of disposable.

Rising urbanization in India.

Awareness of good lifestyle and home décor.

Ease of availability of the product.

Domestic economic growth which has led to rise in industrial and commercial activity and income growth of work force.

Strong growth traction in the automotive and real estate sector.

Asian Paints is among the top 10 decorative coatings paint companies in the world. Asian Paints manufactures a wide range of paints for decorative and industrial use.

The decorative segment accounts for almost 70% of the overall paints market. Paints sales in domestic and international markets contributed 81% and 13%, respectively, to the company’s consolidated revenue; chemical sales accounted for the balance.

Along with subsidiaries, operations are spread across 19 countries across the world with 26 manufacturing facilities and serving 65 countries.

Segments and Products

The group is present in five regions across the world, i.e., South Asia, South East Asia, South Pacific, Middle East and the Caribbean region, through five corporate brands:

Asian Paints, Berger International, SCIB Paints, Apco Coatings and Taubmans. It operates as Asian Paints in South Asia (India, Bangladesh, Nepal and Sri Lanka); SCIB Paints in Egypt; Berger in South East Asia (Singapore), Middle East (UAE, Bahrain and Oman), Caribbean (Jamaica, Barbados, Trinidad & Tobago); Apco Coatings in South Pacific (Fiji, Tonga, Solomon Islands and Vanuatu); and Taubmans in South Pacific (Fiji and Samoa).