Specialty Chemicals segment

The Specialty Chemicals segment in theIndian Chemical Industry is a new emerging sector which brings promises of huge growth.

Specialty chemicals are those chemicals which is produced at a low volume, they are high priced and usually targeted at a wide variety of markets. These chemicals are developed under the user's specifications which usually vary from one user to another.

The methods of development depends on the application and the function of the chemicals. This industry requires the best technical know how.

The different Specialty chemicals:-

• Diagnostic Aids
• Adhesives
• Paper Additives
• Flavors & Fragrances
• Elastomers
• Foundry Chemicals
• Industrial Enzymes
• Cosmetic Additives
• Dyes
• Food Additives
• Metal Plating & Finishing Chemicals
• Lube Additives
• Category Specialty Chemicals
• Industrial Cleaning Agents
• Fuel Additives
• Polymer Additives
• Oilfield chemical
• Mining Chemicals
• Photographic Chemicals
• Paint Additives
• Construction Chemicals
• Rubber Chemicals
• Water Management Chemicals
• Surfactants
• Textile Auxiliaries
• Electronic Chemicals

The Specialty chemicals segment can be divided into three parts:

• LargeIndian companies like Hico Products, Balmer Lawrie
• SmallIndian companies like Ahura Chemicals
• Transnational subsidiaries like Ciba Specialty Chemicals, Color Chem, Foseco, ClariantIndia

The Specialty Chemicals segment is disunited with a huge number of companies. TNCs have a stellar inherence in this sector. Many of the present textile manufacturers are emerging as specialty chemical developers.

Major companies in the Specialty chemicals segment:

• ClariantIndia Ltd
• Ciba Specialty Chemicals
• Color Chem
• BASF
• Foseco
• Hindustan Organic Chemicals
• Balmer Lawrie

Major consumers in the Specialty chemicals segment:

• Textile industry
• Leather industry
• Paper industry
• Detergent industry
• Rubber industry
• Paints industry
• Agro chemical industry
• Oil & gas industries

Market Characteristics :-

• The specialty chemicals segment is estimated around US $ 465 million
• The industry has emerged from textile auxiliary chemical industry

Key Success Factors :-

• Application of superb engineering skills for better chemical formulations
• Customization of the chemicals for specific end users requirements
• Technical knowhow to be imported for better production
• More export oriented productions
• Formulation of policies for the better functioning of the industry

Future of the Specialty chemicals segment:-

• Focus on improvement in efficient processes for enhanced productivity
• India to be one of the main source of base materials
• The demand of the segment depend on the demand of the end users

Last Updated on 13 December 2011