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FACTORS CATALYSING
INDIA’S TILE DEMAND
Urban India:
A recent report released by
real estate global consultants Cushman &
Wakefield reveals that the urban housing
demand in India is set to grow nearly 15
million units by end 2019, an outcome
of urbanisation. The top eight cities –
Ahmedabad, Bengaluru, Chennai, Hyderabad,
Mumbai, Pune, Kolkata and NCR – could
account for nearly 3.4 million units.
New India:
Eleven small cities (Tier II and
Tier III cities) are likely to witness incremental
housing demand of 9.44 lakh units in five
years (Source: Cushman & Wakefield). The
report ‘Embracing Change: Exploring Growth
Markets for Indian Housing’ indicates that
these cities exhibit strong development
potential based on economic activity, current
and proposed infrastructure developments and
expected government and private investments.
Liquid India:
Economic development and
favourable government policies (Seventh Pay
Commission recommendations and RBI’s
initiative to reduce loans cost) have put more
money in the hands of the average Indian as
India’s per capita income crossed the six-figure
mark to reach Rs. 103,219 (Rs. 94,130 in
2015-16). Increased earnings should translate
into higher consumption expenditure.
Trending India:
Technology and aesthetics
have significantly widened tile application.
Hitherto, tiles were a bathroom flooring
and cladding solution; they have emerged
as preferred flooring and cladding solution
across applications covering the entire floor
plate of concrete structures, enhancing
aesthetic appeal to the façade of new-age
concrete structure, shop-floor application
in manufacturing facilities and even road /
pavement laying. A widening tile usage is
expected to drive sectoral demand.
Resurgent India:
The number of ambitious
programmes launched in the last two years
by the Centre, like Smart Cities Mission,
Swachh Bharat Abhiyaan (Sanitation for
All by 2019),Atal Mission for Rejuvenation
and Urban Transformation (AMRUT) and
Housing for All by 2022 is expected to provide
significant impetus to the demand for tiles.
Unified India:
The implementation of Goods
and Service Tax (GST) will be a welcome
change for the ceramic tile industry as
it promises to create a level playing field
between the informal segment of the Indian
tile industry and the organised/branded
players.
2011
2012
2013
2014
2015
30
33
51
92
122
Exports
(MSM)
2011
2012
2013
2014
2015
625
681
718
756
763
Consumption
(MSM)
2011
2012
2013
2014
2015
617
691
750
825
850
Production
(MSM)
INDIA’S PROGRESSION
019
ANNUAL
REPORT
20
16-17
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