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Wednesday, March 18, 2015

Industrial gases are a group of gases that are specifically manufactured for use in a wide range of industries, which include oil and gas, petrochemicals, chemicals, power, mining, steelmaking, metals, environmental protection, medicine, pharmaceuticals, biotechnology, food, water, fertilizers, nuclear power, electronics and aerospace. The term "Industrial Gases" refers to gases which are produced in relatively large quantities by industrial gases companies for use in a variety of industrial manufacturing processes.  They are produced and supplied in both gas and liquid form.

The oil and gas sector is one of the six core industries in India. It is of strategic importance and plays a pivotal role in influencing decisions across other important spheres of the economy.A country’s economic growth is closely correlated to the energy demand. Consequently, the demand for oil and gas, which is one of the main sources of meeting energy requirements, is expected to increase further. The value of the Indian oil and gas sector is forecasted to grow from US$ 117,562.9 million in 2012 (estimated) to US$ 139,814.7 million by 2015.


The production of industrial gases is projected to increase by 15% or more in the coming period.

Uses of industrial gases :

The different gases are used in a wide variety of industries, but most notably in the metal, polymer and food industries.

Oxygen: The majority of the oxygen produced by BOC Gases is used by the Glenbrook steel mill to oxidise unwanted impurities in the steel. Industrial Gases

Nitrogen: Nitrogen has two main uses: cooling and as an inert atmosphere. As liquid nitrogen it is used for cooling in many industrial processes and in the food industry As gaseous nitrogen it is used to form an inert blanket over substances that would otherwise be oxidised by the air.

Acetylene:  Acetylene is mainly used in oxy-acetylene flames for cutting mild steel and for welding.

Carbon dioxide: Carbon dioxide is used widely in the food industry for applications such as removing the caffeine from coffee beans to make decafinated coffee and for carbonating beer, soft drinks etc.

Industrial Gases

Demand :       Past & Future


Year                 mn m3


2005-06       2760

2006-07       3360

2007-08       4200

2008-09       5150

2009-10       6200

2010-11       7340

2011-12        8560

2012-13       9845

2013-14          11230

2014-15          12725

2019-20          22930


Market Growth Rates

1990-91-1996-97      10.5%

1996-97-2001-02      13.2%

2001-02-2006-07      17.1%

2006-07-2011-12      20.6%

2011-12-2019-20      13.1%


Sensitivity Coefficient                   4.2%



Source: NPCS Team

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