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Atul Ltd | Annual Report 2016-17
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 and Hardeners, Reactive Diluents, Sulphones, Rubber and Polyurethane based
Adhesives, Others
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, Sports 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.
During 2016-17, sales increased by 7% from
`
699 cr
to
`
750 cr. Sales in India increased by 4% from
`
445 cr to
`
462 cr; bulk sales in India increased by 9% from
`
612 cr to
`
665 cr whereas retail sales decreased by 2%
from
`
87 cr to
`
85 cr. Sales outside India increased by 13%
from
`
254 cr to
`
288 cr and formed 38% of the total. Growth
on account of volume was 14%. The Company completed
1 project and undertook 1 project for implementation.
The world market for epoxy resins and hardeners is estimated at US$ 6.3 bn and is growing at about 2% and Indian
market is estimated at US$ 250 mn and is growing at about 6%. There are about 7 major companies which dominate the
world marketplace. The world market for sulphones (hardener) is estimated at US$ 320 mn and is growing at about 4%.