India DI Pipe Market Size by Revenues in INR Billion, FY’2011–FY2017

In India, ductile iron pipe market has been growing over 50 years owing to its durability, tensile strength, resistance, pressure bearing ability and capability of sustaining external static/dynamic loadings. Ductile iron pipes have a reliable service life of 50 years which makes it one of the best piping solutions for transporting water and sewage treatment. Manufacturers DI Pipe in India, Ductile Iron (DI) Pipes & Fittings – JINDAL SAW LTD,DI Pipe Suppliers in India, Ductile Iron Pipe Market Trends, Ductile Iron Pipe Market 2017,Ductile iron pipes manufacturing India, Ductile Iron Pipe Sector, Ductile pipe market has witnessed strong demand in the market owing to growth in water infrastructure activities and high demand in commercial sectors. The primary growth drivers for ductile iron pipes in India have been poor access of safe drinking water, poor sanitation coverage in the country, Infrastructure development and “Toilets for All” initiative by Government of India.

In terms of revenue, the market for ductile iron pipes has increased at a CAGR of ~% during FY’2011 – FY’2017 from INR ~ billion in FY’ 2011 to INR ~ billion during FY’ 2017. The primary growth drivers for DI pipe market were increasing Government initiative and schemes for providing safe and adequate drinking water, providing sanitation facilities in all the rural areas, huge exports and awareness on safety and hygiene. The market size of DI pipes in terms of production has increased rapidly during FY’2011 – FY’2016. The key drivers for increasing production capacity of ductile iron pipe manufacturers were improved technology, integrated system, growing demand for DI pipes and presence of high competition which resulted into increasing market penetration.

India Ductile Iron Pipe market is segmented on the basis of four major segments- by domestic & export sales, by diameter, by grade and by sector.

By domestic & export sales: The K7 and K9 grade type DI pipes are majorly demanded by government contractors. Due to ~% consumption of DI pipes manufactured by the domestic market, ~% revenue earned by sales of DI pipes is generated from domestic sales. Domestic companies’ incapability of meeting international standards has been major reason for fewer sales in the exports market.

By diameter: 100–150mm segment has dominated the sales for the DI Pipe market and contribute ~% revenue to the overall market. DN 200mm-300mm DI pipes are used for residential and industrial purposes to transport water for drinking and manufacturing purposes and contributed ~% revenues to the overall DI pipe market. DI pipes above 300mm diameter contribute around ~% of the production in the entire market. DI Pipes above 1000mm diameter are majorly used for oil and gas supply and they are exported to foreign countries, contributing ~% to the overall market share.

By Grade: DI Pipe market by grade comprises of K7, K8, K9 and K12 pipes. K7 and K9 grade pipes dominate the market and generate ~% revenue from the overall DI pipe market. K7 class DI pipes generates ~% of the total revenue where as K9 DI pipes contribute almost ~% of the total market share by revenue. K8 & K12 class pipes have contributed ~% revenues to the overall market.

By Sector: Ductile iron pipes for water management (in terms of revenue) dominated the market among all the sectors. Ductile iron pipe for water management contributed approximately ~% of the total revenue. DI pipes used for sewerage purpose contributed to ~%.

The demand for DI pipes has been arising owing to flagship programs such as AMRUT, Smart Cities, Swachh Bharat Abhiyan, Telangana Water Grid project and Maharashtra Water Grid projects for improving water supply and sanitation infrastructure to provide better habitant facilities.

The increase in the urban population is likely to increase the demand for housing units that will aid the demand for piped water supply.

DI pipe manufacturers have been focusing on reducing operations cost which has aided in improving profit margins of the company. Backward integration strategy prevents companies from buying expensive raw materials from other companies and the manufacturers purchase major raw material from subsidiaries for cost saving measures and earn better profit margins.

The Ductile Iron Pipe market in India is majorly acquired by a few major players. Major feature of the DI pipe market in India is that it is ~100% organized as the commissioning of the projects is routed through EPC contractors.

During FY’2011 – FY’2016, India has exported DI pipes to 37 countries and demand in the global market is estimated to be good in future which would aid to ductile iron pipe market in forthcoming years as well.

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