According to a new report from ARC Advisory Group, the global economic slowdown is likely to have a marginal effect on India’s economy in the short term, but in the long term, the country’s growth prospects will remain robust because it depends largely on domestic consumer demand. Process industries such as chemical, oil and gas, power, refining, and others are expanding in India, and this is providing the impetus for increasing use of control valves, which were the focus of the study.
“The expanding Indian economy provides impetus for the growth of the country’s manufacturing industry,” says ARC analyst Ritika Agrawal. “Almost all process industry verticals are growing, and the growth seems to be sustainable from both mid-term and long-term perspectives.”
Agrawal says that “manufacturing companies in India are well placed from the demand side perspective, [but] they are under cost pressures. This trend makes India an attractive market for automation and especially the control valve, actuator, and positioner suppliers.”
According to the principal author of ARC’s study, Ritika Agrawal, the country not only acts as a good demand-centric market, but “also as an excellent manufacturing base that can serve the growing markets in the region.” Users and suppliers in India enjoy advantages such as the low cost arbitrage, availability of design and engineering capabilities, and world-class casting and forging facilities, he added.
More information about this study is available online.
Leaders relevant to this article: