Composites industry to grow at 15 pc CAGR in next five years

MUMBAI: The Rs 15,000-crore Indian composites industry is expected to grow by 15 per cent per annum over the next five years, industry experts have said.

"The current Rs 15,000 crore Indian composites industry is expected to grow by 15 per cent per annum over the next 5-years given its wide application," Chairman of ICERP 2013 exhibition Pradip Thakkar said here.

The growth will be seen mainly in the automobile, (defence) tanks, transportation, wind energy, aviation and infrastructure, Thakkar said.

The composites are established as an alternate material system to traditional materials like steel, wood, aluminium and also concrete.

Due to recession, the industry had registered single digit growth last year, Thakkar said.

The global composites market is likely to grow at about 4 per cent over the next five years.

Presently, the per capita consumption of composites in India hovers around 0.25 kg compared to that of USA which is 10 kg. India's production of composites is estimated at about 3 lakh tonnes, about 3 per cent of global volumes.

"Growth can be further accelerated, if the Commerce Ministry provides opportunities for exports through suitable stimulating schemes. Opportunities for enhanced export can be provided by export competitiveness, innovation and design to suit those markets. Indian industry has the techno-commercial capability for achieving this," Fibre Reinforced Plastic (FRP) Institute Chairman, Subhash Vithaldas said.

India currently exports Rs 1,000 crore worth of composites to Middle East countries which can be doubled in the next three year's period, he said.

The composites industry also has potential of generating huge employment opportunity, Vithaldas said adding that composites manufacturing unit with an annual turnover of Rs 100 crore, hires an average of 600 employees.

Meanwhile, the industry is organising International Conference and Exhibition on Reinforced Plastics (ICERP) 2013 exhibition from April 4-6 in Mumbai. The exhibition will have a mix of international and domestic companies show-casing and demonstrating materials equipments and finished composites.