Abhijit Roy says that while competitive intensity continues to rise, the industry remains on a strong growth trajectory
Highlighting that the paints industry has been facing intense competition due to the entry of several new players in recent years, Abhijit Roy, Managing Director and Chief Executive Officer (CEO) of Berger Paints, has stated that the company is foreseeing a strong resurgence in consumer demand, a decisive shift toward premiumisation.
Highlighting that the optimism is grounded in strategic action going ahead, Roy noted that the company foresees accelerated adoption of digital and sustainable practices. On a positive note, he said that the rural segment showed signs of recovery last year, supported by improved agricultural output and rising income levels.
“While competitive intensity continues to rise, the industry remains on a strong growth trajectory, underpinned by India’s low per capita paint consumption and expanding opportunities in both urban and rural markets, positioning the sector for long-term, sustainable expansion,” Roy said in the company’s annual report.
India’s macroeconomic environment remained broadly optimistic through the last year. However, elevated inflation, particularly in the first half, weighed on urban discretionary spending, leading to delayed spending on painting. This led to a softer-than-expected performance for the decorative paints industry, he added.
Despite a sluggish external environment and pricing pressures triggered by declining raw material prices and increased competitor activity, the MD noted that Berger Paints reported steady progress on all key financial and operational parameters. Despite a volume growth of 7.6 per cent, the muted revenue growth was largely owing to the full-year impact of price reduction undertaken towards the end of FY 2023-24 and softer consumer demand.
In FY 2024-25, the decorative segment, accounting for 80 per cent of the company’s total revenues, registered a YoY volume growth of 7.4 per cent and a value growth of 1.1 per cent. The exterior emulsion range maintained its upward momentum, while construction chemicals and waterproofing solutions delivered standout performance, he noted.
