The growth projections for India’s UPVC door and windows market are promising. Industry experts estimate that the market will experience a CAGR of around ~11.3% from 2022 to 2027.
- UPVC Demand in Evolving Real Estate: India’s real estate evolution sees surging demand for UPVC doors and windows, driving market growth towards modernization by 2027.
- Government’s Role in Housing Evolution: Government investments anticipate increased urban housing demand, driven by initiatives like the Urban Infrastructure Development Fund, reshaping the real estate landscape.
- Influential Market Factors: Rising personal income aligns with infrastructure growth, while climate resilience and affordable housing policies contribute to evolving market dynamics.
- PVC Resin’s Pricing Influence: PVC resin pricing, swayed by demand, inventories, and oil costs, showcases sensitivity as historical trends indicate. Future trends remain molded by these factors.
India’s real estate and construction sectors have been experiencing rapid development, with a noticeable shift towards modernization and efficiency. One significant aspect of this transformation is the increasing demand for UPVC (unplasticized polyvinyl chloride) doors and windows. This trend is driven by a variety of factors that are projected to lead to substantial growth in the UPVC door and windows market in India by the year 2027.
1. Government’s Mega Investment Plans Set to Reshape the Market
Anticipated government initiatives and investments in the real estate sector are predicted to generate a surge in demand for the construction of new housing units, particularly in urban centers such as Delhi and Bangalore.
The upcoming period envisions new building construction taking the lead in market dominance. This trend is predominantly attributed to the robust infrastructural advancements in the northern and central regions of the nation.
The initiation of the Urban Infrastructure Development Fund, backed by a substantial INR 10,000 Cr. investment in the Union Budget 2023-24, exemplifies a proactive stride towards holistic national advancement.
2. Impactful Industry Factors: Income Rise, Climate Challenges & More…
The rise in Personal disposable income is set to drive market demand, fueled by infrastructure development. Demand for door and window systems are expected to increase due to its ability to withstand extreme climatic conditions.
High emphasis by the Government on the housing scheme presents strong opportunity in the urban affordable housing segment. Increased consumption of PVC resin by the US and other countries will lead to price escalation if production is limited.
3. PVC Resin Price Faces Ripple Effects
The price of PVC resin is affected and expected to rise in future owing to various factors such as increase in demand, inventories, and oil prices.
The cost of PVC resin is subject to periodic fluctuations. Notably, it surged significantly from INR 64.0 per Kg in 2015 to INR 111.0 per Kg in 2022. This increase is attributed to heightened end-user demand, elevated oil prices, and reduced domestic supply.
The escalation in PVC resin prices stems from heightened demand for end-use products, oil price hikes, and decreased domestic supply. Additionally, the forthcoming years will witness PVC resin pricing influenced by end-use product availability and various other factors.