Indian Paints Association (IPA) has expressed optimism that 2019-2020 would be better than the previous year's growth traction amid slowdown in automotive sector.
"We expect economy to do better under the present government. We expect paints industry to post marginally higher growth rate both in terms of volume and value for the current fiscal than what had been achieved in 2018-19," IPA president Abhijit Roy said Friday on the sidelines of the association AGM.
In 2018-19, the industry has expanded at a rate of 12 per cent in volume terms and 15 per cent in value terms, he said.
Roy said automotive paints accounts for 15 per cent of the total paints industry.
There had been production cut among the automotive majors in the country. But protective coatings demand remained robust, he said.
Recently, coating companies has reduced oil based emulsions price between 2 and 3 per cent after crude price eased.
But, the industry has not taken any call about price reduction for protective and decorative paints price.
In the last fiscal the Rs 50,000 crore paints industry has raised prices between 5-7 per cent across categories.
Government had reduced GST from 28 to 18 per cent last July giving a huge boost to demand.
Meanwhile, S Mahesh Anand of Nippon Paint took over as the new president of IPA.
Disclaimer: No Business Standard Journalist was involved in creation of this content
