Top export sector for India


Did you know?

India's imports of plastic materials and resins is growing at a much faster rate than domestic production. So, this is the time for foreign companies to set up plants in India.


Plastic materials and resins
(in US$ million)
Plastic materials and resins 1995 1996 1997*
Total market size 3,835

4,240

4,780

Locally manufactured 2,020 2,180 2,670
Total exports 295 380 400
Total imports 2,110 2,440 2,510
Exchange rate:          US$1 = Rs. 32.75 34.95 35.00
Source: Independent studies
*1997 figures are estimates

 
Promising sub-sectors 1997* market size (US$ mn)
Commodity plastic and resin

4,090

Engineering plastics and resins

460

Thermoset

230

Points to be noted:

  • The Indian plastics and resin market is growing at 16-20 per cent annually.

  • Many domestic manufacturers have been hit by the economic liberalisation initiated in 1991 until when they were operating in a protected market.

  • It is unlikely that domestic manufacturers will be able to increase their market share. Only two major petrochemical projects are expected to come up by the year 2000. This means imports will increase.

  • Major international companies which have opened representative offices in India include Mobil, Dow Chemical, Dupont and FMC (all US-based).

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