Atul Ltd 2017-18

Atul Ltd | Annual Report 2017-18 textile chemicals in Indian market; it increased its sales by 12% from ` 65 cr to ` 73 cr, primarily because of volume. The size of the world Dyestuff industry is estimated at US$ 5.6 bn and is growing at about 3.5%. China is the largest manufacturer of dyes, followed by India. The world market for high performance pigments is estimated at US$ 4.7 bn and is growing at about 3.8%. The main user industries, namely, Paint and Coatings and Textile, will continue to grow because of increase in discretionary spending. The Company along with RACL will participate in this growth by i) broadening its market reach in new geographies, ii) increasing its manufacturing and working capital efficiencies and iii) introducing new dyes, pigments and products for non-textile applications. Fluctuations in foreign exchange and availability of raw materials may impact sales realisations. Treatment costs are expected to remain high given that the manufacture of dyes and pigments generates significant pollutants. Polymers Product groups: Epoxy Resins, Curing agents, Reactive diluents, Sulfones, Protective paints and Adhesives based on Epoxy, Synthetic rubber, Polyurethane, Cyanoacrylate, PVC and PVA. The products falling under these product groups are used by customers belonging to Aerospace, Automobile, Composites, Construction, Defence, Electrical and Electronics, Footwear, Paint and Coatings, Paper, Sport and Leisure and Wind Energy industries. The product groups comprise about 96 synthetic products and 300 formulations. B11, P62 and P101 are some of the key products. Synthetic and formulated products are versatile and have significant applications in Aerospace, Automobile, FRP Composites, Wind Energy, Electrical and Electronics, Paint and Coatings, Construction, Defence, Sport and Leisure and Paper industries. During 2017-18, sales increased by 14% from ` 750 cr to ` 858 cr. Sales in India increased by 26% from ` 462 cr to ` 580 cr; bulk sales in India increased by 26% from ` 386 cr to ` 487 cr whereas retail sales increased by 22% from ` 76 cr to ` 93 cr. Sales outside India decreased by 3% from ` 288 cr to ` 278 cr and formed 32% of the total. Growth on account of volume was 6%. The world market for epoxy resins and curing agents is estimated at US$ 6.8 bn and is growing at about 2% and Indian market is estimated at US$ 260 mn and is growing at about 6%. There are about 7 major companies which dominate the world marketplace. The world market for sulfones (curing agents) is estimated at US$ 350 mn and is growing at about 5%.