Global giant Jotun Paints plans to achieve 8 per cent market share in the Rs 16,000 crore paint market in India over next two years. Jotun Paints India has invested Rs 125 crore to set up its manufacturing unit at Ranjangaon here, which now delivers 50 million liters of wet paint and 10,000 metric tones of powder coatings annually.
Speaking to reporters in Pune, Jotun Paints India managing director Claes Jansson said, "The paint sector in India continues to offer opportunities for growth and capacity expansion. It remains as one of the most important markets for Jotun."
Jansson added, "The Indian paint industry itself is growing at 12 per cent annually and is valued at Rs 16,000 crore. The per-capita-consumption of paints in India is very low at 0.8 kg per annum against 4 kg in the south-east asian nations and 22 kg in developed countries. The global average per capita consumption is 15 kg. Hence, the growth opportunities for paint makers is definitely in India."
The industrial paints segment accounts for 30 percent of the paint market in India while the decorative paint segment accounts for 70 per cent of paints sold as against a global average of around 50:50.
Over the next few months, Jotun Paints will be invest in capacity expansion, distribution network and retail presence in key locations across the country. In addition, the company will focus on production and supply of environmental products and services for the Indian market.
The Jotun group will be concentrating on several markets including the northern region, where it aims to set up a total of 10 stores by the end of the year.
At present, the group has a total of 150 stores that market various paints and related products.
This form of direct marketing is aligned with the group’s international marketing strategy, which helps to ensure better access to cost-efficient quality paint products and services for customers, a statement issued said.
