Polyurethane (PU) Foam Production and Market Demand. Why Start a Foam Production Business?
The industry of polyurethane is one of the fastest-growing industries in India which has registered double-digit growth during the past 5 years and is anticipated to double every four years in the upcoming years. The demand for polyurethane foam is anticipated to grow manifold in India, which produces 4 million cars and 9 million refrigerators yearly. With a population estimated at 1.3 billion people and a GDP growth rate of 7 % or above, India offers a big potential to global polyurethane players.
Booming Industry of Polyurethane
Polyurethanes are considered as an alternative to conventional material like PVC, wood, rubber, etc., and cater to different major industries like automotive, construction, footwear, appliances to name a few. The increasing middle class with rising disposable incomes and high urbanization are the key growth drivers in these markets leading to growing demand and opportunities for polyurethanes.
The presence of high consumer disposable income and luxurious standards of living in countries like the U.S. and Canada are expected to foster demand for comfortable furniture and bedding, leading to an upsurge in Polyurethane Foam sales in the North American region in the future.
The recovery of manufacturing sectors in growing economies of North America and Europe like The U.S, UK, Germany, and Italy will drive regional consumption over the forecasted horizon. Growing government intervention to inculcate bio-based Polyurethane Foam in different applications is expected to impact further industry dynamics.
Global Demand of Polyurethane Foam
- The global market size of Polyurethane foam was valued at USD 48.55 billion in the year 2015. Increasing demand from the bedding and furniture industry due to the rising urban population in growing economies of Asia Pacific like China, India, and Indonesia is expected to drive growth over the forecasted period. Polyurethane foam is an extensively used polymer and plastic. It is available in 2 forms i.e. rigid and flexible foams. Rigid foams are used for different insulation applications relating to refrigeration and construction. It is energy efficient and helps in cutting energy costs. Flexible foams are used majorly as a cushioning substance in end-use industries like packaging, furniture, bedding, and transportation.
- Polyurethane foams are expected to see increased market penetration due to properties like superior insulation which is ideal for roofs and walls in new houses. The usage of Polyurethane in the building helps to maintain uniform temperature and reducing noise levels.
- Growing construction spending in countries like India, Indonesia, Korea, UAE, and Qatar because of strong industrial sector growth coupled with the increasing urban population is expected to increase the growth. Support from the government in the form of tax incentives and subsidy schemes to encourage the manufacturing sector in countries like China and India is also expected to promote bio-based Polyurethane Foam to replace conventional polymers.
- The growing need for automotive components including dashboards, armrests, airbags, other vehicular components, and exteriors is expected to drive consumption. Strengthening economies, improvements in sovereign balance sheets, and positive demographic outlook, majorly in South East Asian countries such as India, Vietnam, Indonesia, and Thailand are likely to contribute to high growth in demand.
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Conclusion
“Expanded Polyurethane Foam – Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost and Revenue” is a detailed project report by Niir Project Consultancy Services (NPCS). The report covers all the major aspects of the business along with analyzing the market, confirming availability of various necessities such as plant & machinery, raw materials to forecasting the financial requirements. The project report and books by NPCS has helped a lot of engineers, project consultant & industrial consultancy firms not only in India but worldwide to use the project reports as one of the inputs in doing their analysis.
Related Project: – Expanded Polyurethane Foam
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