Growing ceramic tiles and sanitaryware industry
Real Estate

Growing ceramic tiles and sanitaryware industry

The market is booming for tiles and bathroom fittings.
With an array of designs, sizes, price points and finishes, customers have a variety to choose from, says Subrata Basu, Vice President-Design, Nitco. These are showcased in larger showroom spaces across the country.
“The tiles industry in India will be around Rs 350-400 billion and is likely to grow around 8-10 per cent over the next two to three years,” says Kamlesh Patel, Chairman and Managing Director, Asian Granito India (AGIL).
“The tiles market is growing on low single digits,” says Alok Agarwal, CMO, Orient Bell. For the company, the North is doing well, followed by the East. “It is a buoyant market with demand continuing to rise.”
“The sanitaryware industry is estimated at around Rs 45 billion and is growing at around 10-12 per cent annually,” adds Patel. According to him, the Morbi cluster in Gujarat accounts for about 65-70 per cent of India’s tiles and sanitaryware products in volume, with over 800 factories (60 per cent organised, 40 per cent unorganised).

Tracking trends, Dinesh Vyas, Marketing Head, H&R Johnson, says, “Recently, the product mix has moved towards higher-value products with better features and advantages. In spite of temporary ups and downs, the market remains lucrative in the long term and we are working to increase our market share in premium products.” The company recently launched the Johnson International collection of sanitaryware and bath fittings in the affordable-luxury segment. 

High on demand
Government schemes such as Pradhan Mantri Aawas Yojna (PMAY) and Swachh Bharat are expected to play a pivotal role for the building materials segment, with cement, tiles and sanitaryware, paints and construction material companies all standing to benefit. Further, stricter implementation of GST will enhance growth prospects, especially for organised players. Also, the upward revision in customs duty from 10 per cent to 15 per cent on ceramic roofing and wall tiles would help domestic tile manufacturers and reduce import dependency.
“As the Government and local bodies are spending more on infrastructure and housing projects, demand from small towns and Tier-II and Tier-III cities is increasing across sectors,” says Patel. While showrooms are part of the strategy to increase retail sales through direct customer interaction, the company aims to increase the retail share to 50 per cent by increasing the span of retail outlets.
Traditionally, CERA has been doing better in the South, West and North, says Atul Sanghvi, Executive Director & CEO, CERA Sanitaryware. He adds, “With the Government’s affordable housing initiative, all areas are sure to become equal in performance.”
Vyas adds, “We have pan-India operations and making efforts in all regions. However, the East and South have performed well recently. With upcoming new product portfolios, we are confident of doing well in other regions and moving from the metro to the rural market.”
While Orientbell has significant traction across regions of India, Agarwal shares, “The North tends to be more buoyant with a higher recognition of branded products.”

The impact of initiatives
The Make in India drive, Housing for All, Swachh Bharat and the smart cities mission covering 100 cities in five years are expected to generate volume-driven growth, resulting in economies of scale.

“Almost 63 per cent of India’s rural population is living in homes with mud flooring,” says Patel. “Per-capita consumption is at 0.59 sq m versus the global average of 1.40 sq m. The tiles market, thus, holds immense potential.” He adds that with sustained public and private measures in recent years, coupled with improving standards of living, the quality of sanitation has increased manifold.” Consequently, there is a huge market for products utilised in the construction of public sanitation facilities as well as domestic bathrooms and toilets. The need to make affordable sanitaryware products available is now paramount.

A leading integrated building materials company, Prism Johnson, including its sister concern Ardex-Endura (a JV), provides construction-related products such as cement, RMC, tiles, sanitaryware, engineered stone and construction chemicals.

SHRIYAL SETHUMADHAVAN

The market is booming for tiles and bathroom fittings. With an array of designs, sizes, price points and finishes, customers have a variety to choose from, says Subrata Basu, Vice President-Design, Nitco. These are showcased in larger showroom spaces across the country. “The tiles industry in India will be around Rs 350-400 billion and is likely to grow around 8-10 per cent over the next two to three years,” says Kamlesh Patel, Chairman and Managing Director, Asian Granito India (AGIL). “The tiles market is growing on low single digits,” says Alok Agarwal, CMO, Orient Bell. For the company, the North is doing well, followed by the East. “It is a buoyant market with demand continuing to rise.” “The sanitaryware industry is estimated at around Rs 45 billion and is growing at around 10-12 per cent annually,” adds Patel. According to him, the Morbi cluster in Gujarat accounts for about 65-70 per cent of India’s tiles and sanitaryware products in volume, with over 800 factories (60 per cent organised, 40 per cent unorganised). Tracking trends, Dinesh Vyas, Marketing Head, H&R Johnson, says, “Recently, the product mix has moved towards higher-value products with better features and advantages. In spite of temporary ups and downs, the market remains lucrative in the long term and we are working to increase our market share in premium products.” The company recently launched the Johnson International collection of sanitaryware and bath fittings in the affordable-luxury segment.  High on demand Government schemes such as Pradhan Mantri Aawas Yojna (PMAY) and Swachh Bharat are expected to play a pivotal role for the building materials segment, with cement, tiles and sanitaryware, paints and construction material companies all standing to benefit. Further, stricter implementation of GST will enhance growth prospects, especially for organised players. Also, the upward revision in customs duty from 10 per cent to 15 per cent on ceramic roofing and wall tiles would help domestic tile manufacturers and reduce import dependency. “As the Government and local bodies are spending more on infrastructure and housing projects, demand from small towns and Tier-II and Tier-III cities is increasing across sectors,” says Patel. While showrooms are part of the strategy to increase retail sales through direct customer interaction, the company aims to increase the retail share to 50 per cent by increasing the span of retail outlets. Traditionally, CERA has been doing better in the South, West and North, says Atul Sanghvi, Executive Director & CEO, CERA Sanitaryware. He adds, “With the Government’s affordable housing initiative, all areas are sure to become equal in performance.” Vyas adds, “We have pan-India operations and making efforts in all regions. However, the East and South have performed well recently. With upcoming new product portfolios, we are confident of doing well in other regions and moving from the metro to the rural market.” While Orientbell has significant traction across regions of India, Agarwal shares, “The North tends to be more buoyant with a higher recognition of branded products.” The impact of initiatives The Make in India drive, Housing for All, Swachh Bharat and the smart cities mission covering 100 cities in five years are expected to generate volume-driven growth, resulting in economies of scale. “Almost 63 per cent of India’s rural population is living in homes with mud flooring,” says Patel. “Per-capita consumption is at 0.59 sq m versus the global average of 1.40 sq m. The tiles market, thus, holds immense potential.” He adds that with sustained public and private measures in recent years, coupled with improving standards of living, the quality of sanitation has increased manifold.” Consequently, there is a huge market for products utilised in the construction of public sanitation facilities as well as domestic bathrooms and toilets. The need to make affordable sanitaryware products available is now paramount. A leading integrated building materials company, Prism Johnson, including its sister concern Ardex-Endura (a JV), provides construction-related products such as cement, RMC, tiles, sanitaryware, engineered stone and construction chemicals. SHRIYAL SETHUMADHAVAN

Next Story
Real Estate

Pecan Realty Completes Rs 1.5 Billion Transactions

Pecan Realty has recently completed four institutional transactions worth over Rs 1.5 billion over the past two years, strengthening its position as an execution-led real estate platform. The deals include resolution-led acquisitions, structured finance transactions and capital partnerships across its development portfolio.The transactions covered acquisitions through the National Company Law Tribunal process and helped provide repayment or exits to both private and public sector lenders. The company said the deals demonstrate its ability to resolve complex project situations, work with instit..

Next Story
Real Estate

SNN Estates Expands North Bengaluru Housing Project

SNN Estates has announced an expansion of its SNN Estates Felicity residential project in North Bengaluru following strong buyer demand, with 75 per cent of the first-phase inventory sold within three days of launch.The developer will add 76 apartments in the new phase, taking the project's estimated revenue potential to around Rs 1,000 crore upon completion of Phase 2.Spread across 6.5 acres in Rachenahalli, near Manyata Tech Park, the project comprises 604 apartments in 1.5, 2, 2.5, 3 and 4 BHK configurations. The development includes a 50,000-sq-ft clubhouse with amenities such as sports co..

Next Story
Infrastructure Urban

SCG Drives ASEAN Industrial Transformation Strategy

SCG is strengthening its focus on ASEAN as a key growth region by advancing industrial transformation, enhancing competitiveness and building resilient regional value chains. Thammasak Sethaudom, President and Chief Executive Officer, SCG, highlighted the need for industries to continuously develop capabilities, strengthen resilience and deepen regional cooperation to achieve sustainable long-term growth.SCG views ASEAN as an important growth engine alongside China, supported by favourable demographics, trade connectivity and investment flows. With ASEAN’s GDP projected to grow by around 4.7..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement