De-aromatic solvents are used across a range of application such as metalworking fluids, paints & coatings, adhesives, and sealants, solvents for printing inks, drilling fluids, and various consumer products. These solvents are also called as de-aromatized hydrocarbon solvents and are an ideal alternative to conventional solvents since they have low VOC content and thus are less toxic. Some of the major end-user of de-aromatic solvents are marine, automotive, metal industry, coatings, and railways.
India de-aromatic solvents market is estimated to account for around INR 4,868.9 Billion in terms of value in the year 2022 and it predicted to grow at a CAGR of 7.7 % during the forecast period (2023-2030).
Driver
- Rising demand of de-aromatic solvent from metalworking applications
The rising demand of de-aromatic solvent from metalworking applications is expected to foster market growth of India's de-aromatized solvents. De-aromatized solvents are used as a high flash point grade solvents and non-corrosive agent as these can withstand a high degree of temperature. Increasing urbanization and industrialization in India are raising demand for metalworking fluids for the construction of large scale projects. This is further anticipated to accelerate the market growth of India's de-aromatized solvents over the forecast period.
Market Opportunities
- Growing adhesives and sealant industry in India
Growing adhesives and sealant industry in India due to rising investment by the manufacturer is expected to provide enormous growth opportunity over the forecast period to the India's de-aromatized solvents. For instance, in February 2020, Henkel Adhesives Technology has invested around 50 million Euros (Rs 4852160 INR) on its new manufacturing facility in Kurkumbh near Pune. The company said that it will invest another 50 million more in the next five years in the same unit and on other projects in India.
Market Restraints
- Volatile prices of raw materials used for manufacturing of de-aromatized hydrocarbon solvents
Volatile prices of raw materials used for manufacturing of de-aromatized hydrocarbon solvents is anticipated to hinder the market growth. Raw materials used for the production of de-aromatized solvents are derived from crude oil. Naphtha is one of the keys ingredient used to produce de-aromatized hydrocarbon solvents. Price of crude oil tends to be volatile due to various economic factors. This is projected to hamper India's de-aromatized solvents market growth over the forecast period.
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https://www.coherentmarketinsights.com/market-insight/india-de-aromatic-solvents-market-3837
Key Takeaways:
On the basis of region, west region dominated the India de-aromatic solvents market in 2022 with a 35.5% of market share in terms of value, followed by north and south region respectively.
On the basis of the boiling point, the type II segment dominated the India de-aromatic solvents market in 2022 with 7.7 % of market share in terms of value, followed by type III and type I respectively.
Market Trends
Rising demand for de-aromatic solvents from the oil &gas industry in drilling fluid application is projected to foster the growth of the India de-aromatic solvents. According to the India Brand Equity Foundation, India’s domestic crude oil production in July 2019 was 2,769 thousand tons (TMT). Moreover, India had 4.5 thousand million barrels of proven oil reserves at the end of 2018 and produced 39.5 million tons in 2018.
Competitive Section:
Company Names
- Exxon Mobil Corporation
- Total S.A.
- Royal Dutch Shell plc
- Isu Exachem
- Mehta Petro Refineries
- Avani Petrocehm Pvt Ltd.
- Raj Petro Specialties P. Ltd.
- Eastern Petroleum Private Limited
Key Development
Exxon Mobil
- In 2017, Exxon Mobil expanded its production capacity by 250,000 tons for global hydrocarbon solvents. It produces a range of de-aromatic solvents in its facilities located in Singapore and Antwerp
