An article by Mahesh Choudhary, CEO, uPVC division, Aparna Enterprises.
The building materials industry has become an example of resilience for withstanding the effects of the pandemic and bouncing back strongly. Today, the industry is valued at around $225 billion in terms of market size. The projected growth rate for this year is around 10%, and it is estimated to register a CAGR growth of 8% to 9% by 2027. With construction activities resuming in full swing, sub-segments within this industry like Ready-Mix-Concrete, uPVC, and Tiles are all gearing up for an exciting year, and are on their path to steady recovery.
Deep diving into the window and door market, it is no surprise that this division is directly affected by the trends in the building material segments’. Due to the increased demand for houses and commercial spaces, this segment is also picking up pace after a period of stagnation. Here are some key market trends that would drive the demand in the window and door market this year:
- Commercial and residential activities to be the key drivers of the demand: The pandemic induced lockdowns and the hybrid/ remote models of work, has led consumers to invest in buying homes now more than ever. The residential segment is expected to be the highest driver of demand, with more consumers building/ renovating their homes. Commercial realty will also be key element determining the success of the segment. The migration back to office has led to increased work-space leasing and demand for more allied building materials products. Wider windows, sturdier doors, made with high quality materials, has been on high demand, as consumers no longer want to compromise on quality.
- Government policies being in tandem with the industry’s market revival goals: The government has recognized infrastructure development as the key to economic recovery. The launch of new projects from the Government’s side provides a much needed boost to the industry. Several projects that were stalled have been green-lit again. Key projects like the “Housing for all scheme” and the Smart Cities scheme, are estimated to fuel the demand for windows, doors, tiles and other building materials
- The increased demand for uPVC windows and doors: Consumers are in search of more sustainable and durable materials, and uPVC is fast becoming a popular choice. uPVC is water and pollution resistant, is recyclable and has insulation properties. It also has the capacity to withstand harsh weathers sound insulation, resistant to saltwater, and impact resistance, and has found to be useful in several other commercial applications. The residential sector in particular is increasingly warming up to using uPVC for windows and doors and there is a gradual increase in demand for these materials. The residential sector holds the key for the increased adoption of UPVC doors and windows. They are also a greener alternative, to traditional doors and windows, and they have very minimal maintenance. uPVC is hence becoming the favourite material for windows and doors, even in rural areas.
Overall 2022 looks very positive for the window and door market. However, even with positive demand forecasts and consumer sentiments, the growth of the segment can only be made effortless by putting more efforts into R&D and continuously innovating the product ranges. Supportive government policies, and interventions from related industry bodies is also critical. As the affordable housing segment has started picking up, provisions should be made policy-wise to maintain and fast track this growth. The pandemic saw the industry aggressively adopting technology in the business. Hence, for complete revival to happen there needs to be more product innovation. With automated windows and doors are already gaining traction in smart homes, more research needs to be done to understand the gaps in the market and tap into consumer pain points accordingly in terms of new technology innovations.