Increased Demand From the Automobile Sector Driving the Foundry Market in India
According to a Research On Global Markets report, expansion of infrastructure by the government coupled with increased demand from the automobile sector is generating the demand for a wide variety of machinery and equipment such as cranes, fans, motors, appliances, pumps, conveyor equipment, etc. which, in turn, is driving the growth of the foundry market in India.
According to the report, India is the second largest producer of castings, globally. The Indian foundry industry produces various types of metal castings and cast components for application in the power, automotive, defense, railways, machine tools, agro machinery, tractor, earth-moving and mining machinery, electrical machinery, and oil and natural gas industries. The automobile sector is a major consumer of castings produced in the country. Currently, there are around 4,500 foundry units in the small, medium and large-scale sector. Out of these, 1500 units have international quality accreditation.
The report also shows that the automobile sector consumes around 40% of castings produced in India. As of 2017, aluminium castings contributed around 15% of the total castings production in the country. The share is expected to increase considerably by the end of 2020, owing to a shift in demand from iron to lighter castings materials for manufacturing fuel-efficient automobiles and electronic vehicles (EVs).
The report published by Research On Global Markets also features a comprehensive analysis of the end-user segmentation of the market. In terms of end-users, the automotive sector held the largest market share as the growth of the automobile industry generated huge demand for castings producers. Volume-wise, India is the fourth largest automobile industry in the world, and the rapid growth of the automotive sector has resulted to the steady development of other subsidiary industries like the auto component industry, indicating huge demand for castings.
Research on Global Markets tracks the performance of some of the major players operating in the foundry market in India including Electrosteel Castings Ltd., Hinduja Foundries Ltd., Jayaswal Neco Industries Ltd., Nelcast Ltd., Tata Metaliks Ltd., Ashok Iron Works Pvt. Ltd., Brakes India Pvt. Ltd., DCM Engineering Ltd., Menon and Menon Ltd., Sanmar Foundries Ltd., among others.
Key highlights of this report:
- Indian Foundry Market – Market Overview, Size and Growth Forecast (Volume-Wise; FY 2012– FY 2022e)
- Production of Castings in India – Product-wise Segmentation (FY 2014-FY 2016)
- Consumption of Castings in India – Sector-wise Segmentation (FY 2016)
- Key market trends
- Comprehensive analysis of the government initiatives in this market
- Key growth drivers of the market
- Key deterrents to the growth of the market
- Comprehensive analysis of the competitive landscape
This report has been formulated and designed with the purpose of giving businesses a concise understanding of the demand for foundries in India to determine the viability of the market, develop strategies based on the drivers, and to help brands identify competition and respond accordingly.