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Market Research Report : Industrial Fastener Market in India 2011

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Market Research Report : Industrial Fastener Market in India 2011 Powered By Docstoc
					Industrial Fastener – India  
Industrial Fastener India
September 2011
Executive Summary

               Industrial Fastener market consists of nuts, screws, bolts, washers etc.
  Market 
               Production of nuts and bolts have remained steady over the years
 Overview
               Present market size of industrial fasteners is about INR A
                Present market size of industrial fasteners is about INR A

  Import‐      Imports have increased marginally over the years
   Export      Exports have risen significantly as Indian automobiles are being accepted in new markets


              Drivers                                                Challenges
                  Developing auto sector
                                                                          Increasing cost of raw materials
                  Strong growth in other engineering
                   Strong growth in other engineering 
 Drivers & 
 Di      &                                                                EU th t
                                                                           EU threat
                   sector
Challenges
                  Rising exports 
                  Introduction of GST


                                                       Major Players in the Market

Competition
                   Player 1
                   Player 1                 Player 2
                                            Player 2                          Player 3
                                                                              Player 3                    Player 4
                                                                                                          Player 4



                                     INDUSTRIAL FASTENER MARKET IN INDIA 2011.PPT                                    2
 Market Overview
•Market Overview
•Import & Export
 Di      & Ch ll
•Drivers & Challenges
•Government Initiatives
•Competition
•Strategic Recommendations
 Strategic Recommendations



      INDUSTRIAL FASTENER MARKET IN INDIA 2011.PPT   3
 Industrial fasteners market is growing steadily and is 
 expected to grow further in the future 
 Overview – Industrial Fasteners                                            Market Size and Growth (20‐‐)
 • Industrial fasteners include high tensile and mild steel
   bolts, nuts, screws, studs and rivets                                     20
                                                                                                           c
                                                                                                                        B
     All type of fasteners except high tensile and special type                                 A
      fasteners are reserved for SSI sector                                  15

 • Fasteners such as nuts, bolts, studs, rivets and screws                   10
   are used in the assemblies of engineering systems
                                                                              5
 • Automobile sector accounts for approximately y % of
                                                                              0
   the total demand of industrial fasteners
                                                                                                20--e                  20--e

 Production: Nuts & Bolts                                                    Market Segmentation

                                                                                     Unorganized
100,000      K1         K2                     K4
                                    K3                    K5                                         a1%
 80,000
 60 000
 60,000
 40,000
 20,000
      0                                                                                                        a2%
           20-----
           20          20-----
                       20         20-----
                                  20         20
                                             20-----    20
                                                        20-----                                                      Organized




                                                 INDUSTRIAL FASTENER MARKET IN INDIA 2011.PPT                                    4
Asian countries account for the bulk of the critical 
requirement of fasteners for the Indian market
Industrial Fasteners – Imports                                             Imports – Value 
• As of 20‐‐: Excise duties specified ‐ Cenvat of a% and 
  Excise Cess of b%                                                     15,000                         B2               B3
• As of 20‐‐‐‐‐, top 3 countries from where industrial                                                                             B4
                                                                                        B1
  fasteners were imported to India include country 1,                   10,000
  country 2, country 3
                                                                          5,000
    Imports from country 1 were INR X1 , from country 2 INR 
     X2 and that of country 3 was INR X3
     X2 and that of country 3 was INR X3
                                                                              0
                                                                                      20‐‐‐‐‐        20‐‐‐‐‐          20‐‐‐‐‐    20‐‐‐‐‐


Segmentation (20‐‐‐‐‐)                                                     Segmentation (20‐‐‐‐‐)

                         D                      Country 1                                                Y%                     Country 1
                         %                      Country 2                               X%                                      Country 2
       C%
                                                Country 3
                                                Country 3                                                                       Country 3
                                                                                                                                Country 3
                                E%                                                                               Z%
                                                Country 4                                                                       Country 4
                                                Country 5                                                                       Country 5
                           F%                                                            T%
            H%                                  Country 6                                                   H%                  Country 6
                   G%                                                                           K%



                                               INDUSTRIAL FASTENER MARKET IN INDIA 2011.PPT                                                5
Drivers & Challenges – Summary




  Drivers                                                                Challenges

  Developing auto sector                                                 Increasing cost of raw materials

  Strong growth in other engineering
  Strong growth in other engineering 
  sectors                                                                EU threat

  Rising exports

  Introduction of GST




                                        INDUSTRIAL FASTENER MARKET IN INDIA 2011.PPT                        6
Major Players (1/12)

Company Snapshot: Player 1
Corporate Information                                                      Financial Performance
Headquarters       Location 1
                   Location 1                                                                        Revenue
                                                                                                     Net Income
Founded            19‐‐                                                  1.5                                              3

                                                                         1.0                                              2
Products           Product 1 , Product 2
                                                                         0.5                                              1
Key People         ABC, XYZ                                              0.0                                              0
                                                                                    20--      20--          20--   20--

Business Highlights
Business Highlights
• Present annual turnover is INR X
• The company has a development laboratory at location A
• It boasts of ABC certification at all its factories
• In 20‐‐, GKW had sold A division to Company 2 for INR T
• To support its overseas operation Company 1 has owned subsidiary under the name of  ABCD
• As on 20‐‐,  Indian promoters control d % of the  share holding of the issued share capital whereas the foreign 
  promoters have d1 % of the same
  promoters have d1 % of the same
• As on 20‐‐the company has reserves and surplus of INR H


                                               INDUSTRIAL FASTENER MARKET IN INDIA 2011.PPT                               7
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The Industrial Fastener Market  – India report is part of Netscribes’ Manufacturing Series. 
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                                                  INDUSTRIAL FASTENER MARKET IN INDIA 2011.PPT                                                    8

				
DOCUMENT INFO
Description: For the complete report, get in touch with us at : info@netscribes.com Industrial fastener market India is linked to the performance of the Indian auto industry. As the auto industry is moving from strength to strength, auto component industry including the industrial fastener industry is in an upswing. Support from the government within the framework of SSI sector and encouragement to engineering goods export can further boost this market. The report begins with a market overview section which shows the potential for industrial fastener market and the estimated growth of the market. Furthermore, it provides information regarding the production of nuts and bolts over the past few years. This section looks to explain the industrial fastener sector with the help of Porter’s five forces model. It illustrates the various forces in the sector and the impact each of the forces has in the industrial fastener market. The EXIM section shows the imports and export which have taken place in last few years. It also highlights which countries were the major importers and exporters in last two years. The major driver identified is domestic growth of automobiles. Due to the phenomenal growth, the auto component industry has seen tremendous growth coupled with heavy investments. Since the auto sector accounts for highest sales for the fasteners market it is expected to boost the market going forward. Another driver identified is the robust growth in other engineering sectors. The engineering sector includes companies from construction and other allied sectors. It has also been found that exports have been increasing as Indian vehicles are more acceptable in global markets. This has given a push to the demand for industrial fasteners. Another driver which can play a very important role is the introduction of GST which is likely to bring about transparency in the tax system. The challenges identified are rising input costs and threat from EU. Rising input costs of steel and powe