Indian Fiber Cement Market Forecast to Reach $4.2 Million by 2025

Indian Fiber Cement Market is forecast to reach $4.2 million by 2025, after growing at a CAGR of 6.7% during 2020-2025. Owing to growing building activities throughout the region. Fiber cement boards and sheets are composite building and construction materials, mainly used in roofing and facade products due to their strength and durability. In addition, the demand for fiber Cement boards and sheets is further driven by stringent regulations against the use of asbestos in construction due to the health risks associated with its use across India. In addition, the increasing demand for energy efficient buildings is also boosting the growth of the market. However, the threat from substitutes like vinyl and wood siding is expected to hinder the growth of the fiber cement boards market in India.

Key Takeaways
Fiber cement is an integral part of the construction and construction materials industry and is mainly used in indoor and outdoor applications, such as siding, roofing, cladding, and molding and trimming. Specific chemical and physical properties are required for building & construction materials used in indoor and outdoor applications to withstand the potentially adverse effects of several factors, such as weather, temperature, and humidity.
Fiber cement demand is growing at a steady pace across the nation. Due to high demand in the end-use sectors, especially the agricultural and industrial sectors, the market for fiber cements is increasing. Housing innovation and demand for fire proof and sound proof walls in many industries are other factors that impact the growth of the market.
The COVID-19 pandemic and resulting suspension of development activities shall have an effect on the availability of a number of green chemicals to the supply. In addition, the ongoing trade turmoil would also have a significant effect on the supply of chemical stocks in import-dependent countries, such as India.

Indian Fiber Cement Market Segment Analysis – By Type
Polypropylene segment has the largest share for Indian Fiber Cement market in 2019. The fibers of polypropylene (PP) have a range of fresh and hardened concrete properties, such as compressive strength, tensile strength, flexural strength, workability, bond strength, crack properties, creep tension, impact and penetration of chloride. The ability of a resilient structure to withstand weathering action, chemical attack, abrasion and other corrosion processes with limited maintenance over its service life is as critical as a structure’s ability to resist the loads applied to it. While concrete offers many advantages in terms of mechanical characteristics and economic aspects of construction, for seismic and other applications where versatile behavior is fundamentally necessary, the brittle behavior of the material remains a greater handicap. However, the production of polypropylene fiber-reinforced concrete (PFRC) has recently established a technological framework to overcome these shortcomings.

Indian Fiber Cement Market Segment Analysis – By Production Process
Extrusion Process has the largest share for Indian Fiber Cement market in 2019. The extrusion process best suits a market with constant growth opportunities and rising demand for natural construction materials. There are many benefits of manufacturing technologies, the goods themselves and, in particular, the universal use of panels in building construction. From flat sheets to profiled structural elements of all sizes, extrusion technology can be matched to a wide variety of items.

Indian Fiber Cement Market Segment Analysis – By Application
Residential segment has the largest share for Indian Fiber Cement market by growing at a CAGR of 5.8% during the forecast period 2020-2025. The primary end-user sector for fiber cement is the residential industry. In the middle-class housing market, the growing middle-class demographic, along with increased disposable incomes, has encouraged an increase. Therefore, an improvement in the usage of fiber cement is anticipated within the segment during the forecast period. In India, the government launched the ‘Housing for All by 2022’ scheme, which is projected to dramatically drive the country’s low-cost residential construction segment over the forecast period. In addition, the Indian government has taken a decision under the Pradhanmantri Awas Yojana to offer interest subsidies of 3 percent and 4 percent for loans of up to USD 18,000 and USD 13,500, respectively, to the lower strata of society with regard to the purchase and construction of houses. In fact, the increasing demand for infrastructure construction gives the residential industry a continuous impetus, propelling the demand for fiber cement in the residential industry.

Indian Fiber Cement Market Segment Analysis – Geography
South India dominated the Indian Fiber Cement Market share with more than 32.9%, followed by North India. India is seeing significant foreign investment in both residential and non-residential markets, and this will create new possibilities for fiber cement industry stakeholders in both residential and commercial building landscapes. In addition, clients in the area are aware of the possible dangers of using asbestos cement as a building & construction material, and regulatory bodies are urging end-users to resort to substitutes that are more durable and environmentally sustainable. This is causing a move around the country from standard cement to fiber cement.

Indian Fiber Cement Market Drivers
Superior performance advantages over traditional cement materials would sustain the development of market
The performance characteristics of fiber cement over standard cement, such as the ability to withstand extreme weather conditions, resistance to warping and sagging, low maintenance requirements, resistance to moisture, and fireproof properties, are experiencing immense demand. Such special and favorable characteristics of fiber cement are forcing construction industry stakeholders to replace conventional building & construction products with fiber cement, such as wood and vinyl, and this is expected to continue generating lucrative sales prospects for Indian fiber cement market players.

Indian Fiber Cement Market Challenges
Popularity of Low-cost Asbestos-based Products may Take up Market Share of Fiber Cement
Although most developed economies are turning to fiber cement for its superior performance characteristics as well as favorable environmental benefits, demand for asbestos-based building materials is significantly high in some emerging economies, including India. Because of its low cost and worldwide supply, asbestos-based building and construction materials are favored by end-users in emerging economies in the construction industries, leading players in the fiber cement industry would have to concentrate their attention on improving the understanding of the health hazards and environmental impacts of asbestos-based construction by end-users.

Market Landscape
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Indian Fiber Cement Market.  Major players in the Indian Fiber Cement Market are HIL Limited, Everest Industries Ltd. and Visaka Industries Limited, and among others.