According to a new report published by Allied Market Research, titled, "India Bitumen Market: Opportunity Analysis and Industry Forecast, 2019-2026," the India bitumen market was valued at $2.8 billion in 2018, and is projected to reach $3.6 billion by 2026, growing at a CAGR of 2.8% from 2019 to 2026.
Bitumen is a mixture of viscous, highly sticky, and black organic liquids, which is soluble in carbon disulfide and primarily consist of condensed polycyclic aromatic hydrocarbons. It is a crucial component of the asphalt, which is used to build roads, streets, and other part of infrastructure.
Bitumen is an important material that enables design and engineering of the asphalt-based streets, runways, motorways, highways, coastal protection, canal linings, driveways, airport, reservoirs, and footpaths cycle paths, parking areas as well as sports and play areas. The infrastructure development programs initiated by Government of India such as Bharatmala project, Golden quadrangle project, construction of various industrial and economic corridor like Delhi-Mumbai Industrial Corridor, Bengaluru-Mumbai Economic Corridor, Chennai-Bengaluru Economic Corridor, Vizag-Chennai Industrial Corridor, and Amritsar-Kolkata Industrial Corridor for the construction of highways and expressways drive the demand for bitumen. In addition, government initiatives such as Pradhan Mantri Gram Sadak Yojana that includes provision of good all-weather road connectivity to unconnected villages of the country is anticipated to drive the growth of the market. Moreover, bitumen is widely used in waterproofing of roof of the building. Therefore, government initiatives such as “Smart City Mission” and Pradhan Mantri Awas Yojana (PMAY) that includes construction of houses in urban and rural areas boost the market growth. Significant development in the Indian construction industry along with industrial development across the country drive the growth of the bitumen industry in the coming years. However, growing health & environmental concerns over production and usage of bitumen, human health & environmental issues associated with bitumen, unsettled crude oil prices, and rise in the usage of an alternative for bitumen is expected to restrain the growth of the market. Moreover, development of bio-based bitumen and EME (Enrobés á Module Elevé) binder is expected to provide growth opportunities for the India bitumen market in near future.
Based on end-user industry, the India bitumen market is segmented into road construction, waterproofing, and others. Road construction is further classified into airports & runways and highways & expressways. Road construction segment is likely to garner the higher market share during the forecast period, owing to rise in infrastructural development activities initiated by the Government of India (GoI) that has led to construction of new highways & expressways and airports across the country.
Based on type, the India bitumen market is segmented into paving grade bitumen, oxidized bitumen, polymer modified bitumen, and bitumen emulsions. Paving grade bitumen is likely to garner the higher market share during the forecast period, owing to its growing demand and usage in road construction activities.
Based on region, the market is analyzed across North India, South India, East India, Northeast India, and West India. North India is expected to garner the highest market share during the forecast period due growing construction and infrastructural development activities across the states in North India. This factor is expected to increase the India bitumen market size from 2019 to 2026
Key Finding of The India Bitumen Market:
- The East India bitumen market is predicted to hold a share of over 23.8% by 2026.
- The road construction segment is expected to garner the highest share of over 76.0% by 2026.
- The North India bitumen market is expected to grow at the fastest CAGR of 3.4% during the forecast period.
- The paving grade bitumen is expected to dominate the market, garnering a India Bitumen market share of 64.7%, during the forecast period.
The key players operating in the Indian bitumen industry include Indian Oil Corporation Ltd., Hindustan Petroleum Corporation Limited, Bharat Petroleum Corporation Ltd., Oil & Natural Gas Corporation Ltd., Total India, Tiki Tar Industries India Ltd., Agarwal Industries Corporation Ltd., Juno Bitumix Pvt Ltd., Universal Bituminous Industries Pvt. Ltd., and Swastik Tar Industries.