Insights in India's Chemical Industry
Tata Chemicals: A Scientific Approach to Sustainability
Scaling new Heights
Having achieved the leadership position in inorganic chemicals, primarily soda ash, Tata Chemicals plans to concentrate on farm and consumer-facing businesses. The focus with regard to the latter will be on consumer products as the Indian consumer is moving from loose to branded packaged products across all categories. In the next five to ten years, it aims at introducing wellness and health products under the nutraceuticals brand such as oligosaccharides, sweeteners and anti-obesity products through green manufacturing.
According to Mukundan, the growth drivers will be the changing needs of Indian consumers and farmers. Hence, it is pivotal to build significant capabilities by leveraging consumer and farmer reach, besides focusing on innovation-led products. The company is focusing on developing a new range of green products that can be a third stream of offerings, outside soda ash and fertilizers.
The Way Forward
The demand for soda ash is expected to grow in India with consumers moving towards value-added and sophisticated products. Mukundan concludes, “The demand for soda ash is improving gradually and is estimated to grow by 3-4 per cent in the coming fiscal year. The demand from the glass segment is also expected to increase by 6-7 per cent on account of urbanization. India will need 120,000 to 200,000 tons of additional soda ash every year, and this number will rise to 300,000 tons, going forward. With regard to the ‘Farm Essentials’ business, the demand for specialty, organic fertilizers, etc., is likely to rise by 10-12 per cent.”