The global India De Aromatic Solvents Market is estimated to be valued at INR 4,868.9 Bn in 2022 and is expected to exhibit a CAGR of 7.7% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

De Aromatic Solvents are organic solvents that are derived from petroleum and have low aromatics content. These solvents are widely used in various industries such as paints and coatings, pharmaceuticals, textiles, adhesives, and automotive. The primary advantage of using de aromatic solvents is their low toxicity and low odor, making them suitable for products that come in direct contact with humans. The increasing demand for environmentally friendly solvents and the stringent regulations regarding the use of aromatic solvents in various industries are driving the growth of the India De Aromatic Solvents market.

Market Key Trends:

One key trend observed in the India De Aromatic Solvents market is the increasing use of these solvents in the automotive industry. De Aromatic Solvents are widely used as cleaning agents, degreasers, and thinners in the automotive sector. With the growing automotive industry in India, the demand for de aromatic solvents is expected to increase. These solvents help in removing grease, oil, and dirt from automotive components without causing any damage. Additionally, the low toxicity and low odor properties of de aromatic solvents make them suitable for use in automotive paints and coatings. This trend is expected to drive the growth of the India De Aromatic Solvents market in the coming years.

Porter’s Analysis

Threat of New Entrants: The Indian De Aromatic Solvents market is expected to face a moderate threat of new entrants. This is due to the high entry barriers in the form of strict regulations and the need for significant investments in infrastructure and technology. Additionally, the presence of established players with strong brand recognition and customer loyalty further reduces the likelihood of new entrants gaining a significant market share.

Bargaining Power of Buyers: The bargaining power of buyers in the Indian De Aromatic Solvents market is moderate. While buyers have the option to choose from a variety of suppliers, the market is dominated by a few key players who can exert some control over pricing and quality. However, buyers can still exercise some negotiation power by leveraging their volume purchases and seeking competitive pricing.

Bargaining Power of Suppliers: The bargaining power of suppliers in this market is high. The availability of raw materials required for the production of de aromatic solvents is limited, and suppliers have the ability to control prices and supply. This gives suppliers an advantage over manufacturers and allows them to dictate terms and conditions.

Threat of New Substitutes: The threat of new substitutes in the Indian De Aromatic Solvents market is relatively low. De aromatic solvents are widely used and have limited alternatives that offer similar properties and applications. Additionally, the cost and availability of substitutes may not be as viable as their synthetic counterparts, reducing the threat of substitution.

Competitive Rivalry: The competitive rivalry in the Indian De Aromatic Solvents market is high. The market is dominated by key players such as Exxon Mobil Corporation, Total S.A., and Royal Dutch Shell plc, who have strong brand equity and extensive distribution networks. Intense competition among these players leads to price wars and innovative product launches to gain a competitive edge.

Key Takeaways

The Indian De Aromatic Solvents Market Size is expected to witness high growth, exhibiting a CAGR of 7.7% over the forecast period of 2023-2030. The market size for 2022 is estimated to be INR 4,868.9 Bn. This growth can be attributed to the increasing demand for de aromatic solvents in various industries such as paints and coatings, adhesives, automotive, and pharmaceuticals. The expanding manufacturing sector and rising disposable income of consumers are also driving the market growth.

In terms of regional analysis, India is expected to be the fastest-growing and dominating region in the De Aromatic Solvents market. The country’s robust industrial sector, favorable government policies, and initiatives to promote domestic manufacturing are contributing to the market’s growth. Additionally, the increasing infrastructure development and urbanization in India are expected to create a higher demand for de aromatic solvents.

Key players operating in the Indian De Aromatic Solvents market include Exxon Mobil Corporation, Total S.A., Royal Dutch Shell plc, Isu Exachem, Mehta Petro Refineries, Avani Petrocehm Pvt Ltd., Raj Petro Specialties P. Ltd., and Eastern Petroleum Private Limited. These key players have a strong market presence and offer a wide range of de aromatic solvent products to cater to the diverse needs of industries. Their focus on technological advancements, product innovation, and strategic collaborations enables them to maintain a competitive edge in the market.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it