Indian Styrenics Market Demand

Indian Styrenics Market Demand Overview

The Indian Styrenics Market was of 526 KT in 2015. The demand of Styrene has been continuously increasing in Indian plastics market from past few years. The end segment with high styrene consumption was automobiles, packaging, building and constructions, consumer products, medical devices and others.

The market saw major investments in enhancing the production capacity of styrene, petrochemical, and downstream plastic processing in the industries, which helps to drive the strong growth of styrene in the region.

Indian styrene market is segmented into three subcategories as polystyrene, ABS (Acrylonitrile Butadiene Styrene), and SAN (Styrene Acrylonitrile).

In 2015, Polystyrene amounting to 241 KT, which covered a share of 45.8% of the Indian styrene market followed by Acrylonitrile Butadiene Styrene which is accounted 183 KT and covered 34.7% market share. The demand of polystyrene was derived from white goods applications as casings of household appliances, including air-conditioners, refrigerators, televisions, and other end applications. The Styrene Acrylonitrile accounted for 19.5% of market share, which in terms of volume was 102KT. The demand of SAN was due to its excellent properties of weatherability, stress, barrier and crack resistance. The demand growth for polystyrene has been relatively moderate while  ABS and SAN have been witnessing healthy growth from the consumer electronics, appliances, and automotive sector.

Drivers and Trends

The favorable government policies & rapid expansion in various projects such as Metro Rail Projects, Smart Cities, and Electrification in Railway Line has increased consumption of styrene used in the plastic products. The major demand for styrene is from the automotive application in which it is used as an alternative material to metals and steel to reduce the weight of the vehicle which in turn increases the efficiency.

The key major producers of styrenes are Supreme Petrochem Limited (SPL), INEOS Styrolution India Limited, LG Polymers and Bhansali Engineering Polymers Limited. The production capacity of the key manufacturers is Supreme Petrochem with a 272,000 tonne/year capacity and LG Polymers India with an 80,000 tonne/year capacity.

Further, it is expected that market will see a favorable styrene demand growth because of low crude oil prices and roll out of Goods and Service Tax (GST) in the Indian market.

Constraints & Challenges

The product innovation, strong technology, and  product awareness among the end-users are the key challenges for styrenes in the Indian plastics market. The strong dependency on imports due to the limited domestic production, global market prices, and currency fluctuations are the major constraints for the Indian Styrene Market.

Top

Error: Please enter a valid email address

Error: Invalid email

Error: Please enter your first name

Error: Please enter your last name

Error: Please enter a username

Error: Please enter a password

Error: Please confirm your password

Error: Password and password confirmation do not match