Indian Water Treatment Chemicals Market

Research Overview

Increasing Raw Material Prices and Cost-sensitive Consumers Dampen the Growth of the Indian Water Treatment Chemicals Market

Since the Indian water treatment chemicals market is still growing, the awareness levels among end users are low; this combined with the rise in raw materials can be a major challenge for the participants. The lack of end-user awareness is deterring participants from passing on the price hike to them. Unaware of the benefits of water treatment, end users still tend to favor cheaper products and technologies, which may not be as effective. Newer technologies and chemistries like polyelectolyte products as coagulants are extremely effective. Despite this, industry end users often consider use of these products as an added cost for their organization. Poor law enforcements by the Government agencies on the necessity of water treatment also add to the woes of the market participants.

This Frost & Sullivan research service provides a broad analysis of the Indian water treatment chemicals market. This study includes a thorough examination of the market segments. The segments are biocides and disinfectants, coagulants and flocculants, de-foamers and de-foaming agents, pH adjuster and water softener, as well as other water treatment chemicals (boiler water treatment, cooling water chemicals, corrosion inhibitors, and activated carbon, among others.

Globalization, Environmental Awareness, and Industrialization Drive the Market

"Growth in the Indian economy has led to rapid industrialization and a direct consequence is the increased disposal of effluents; with greater efforts to preserve the environment and strict Government regulations on the quality of effluents disposed, companies have realized the urgent need for efficient water treatment," notes the analyst of this study. "Sustainable development is the new buzzword for the Indian Government and the increasing focus to make India a global manufacturing hub is anticipated to drive the water treatment chemicals market in the future."

The rise in people living in urban areas has hiked the quantity of domestic wastewater. The growing numbers of people moving into cities creates a demand for potable water. This demand can be met by shifting to alternate water sources such as ground water and seawater. Additionally, water consumption by utilities is high, as they use it to produce electricity. This further increases the requirements of water processing, as regulatory standards need to be met, thus maintaining high demand in this market.

Increasing Usage of Recycled Water and Stringent Government Legislations Create Demand for Water Treatment Chemicals

Globalization has attracted Indian manufacturers to export their products to the developed regions. This has generated greater and tighter quality norms and requirements for ISO14000 certification coupled with implementation of water projects are likely to drive the market. Moreover, the Government of India has introduced strict laws pertaining to the standards of wastewater and effluents discharged by companies. In addition, the need to improve operating margins and reduce water resources is creating a trend toward recycling industrial waste water thus driving demand.

"The buoyant Indian economy resulting in widespread industrialization is increasing demand for process water and with the quality of water deteriorating, the manufacturing sector is expected to depend on water treatment chemicals," explains the analyst. "Besides this, demand is likely to rise for the treatment of potable water and domestic sewage by wastewater management companies and Government institutions such as municipalities, thus securing the future of this market."