India's consumer durables market poised to be world's 4th largest by 2027: CII
Speaking at the CII Consumer Electronics & Durables Summit 2024, Thiagarajan, Chairman and Managing Director, Blue Star Ltd, said the next decade is expected to create multiple opportunities across the value chain in the sector.
India's consumer durables market is expected to touch a size of Rs 5 lakh crore by FY30 and will become the fourth largest in the world by 2027, industry body CII said on Monday.
While the country's products are inching towards global reliability, it is imperative to build a robust quality ecosystem and adopt standardisation in the sector and also export Indian standards globally, said B Thiagarajan, Chairman, CII National Committee on Consumer Electronics and Durables.
Speaking at the CII Consumer Electronics & Durables Summit 2024, Thiagarajan, who is also the Chairman and Managing Director, Blue Star Ltd, further said the next decade is expected to create multiple opportunities across the value chain in the sector.
"From finished goods as well as development of an indigenous component ecosystem, with the right focus on domestic scale, India's prospects of becoming a global manufacturing powerhouse holds great promise," he asserted.
Thiagarajan said, "India is already the fastest growing major market for consumer durables in the world and is expected to become the fourth largest by 2027 with a projected market size to reach Rs 5 lakh crore by fiscal year 2030."
He acknowledged the government's support to the sector through various initiatives, including the PLI scheme to boost competitiveness and make India a self-reliant and technologically advanced global player.
"The momentum we are witnessing is a clear sign that India is emerging as a key player of the global manufacturing stage and we are well on track to meet the goal of manufacturing to contribute 25 per cent of the GDP to the country. With over $500 billion in FDI and the creation of over 8.5 lakh jobs, the progress is undeniable. The air conditioning sector, for instance, is expected to become the largest in the world by 2040," Thiagarajan said.
On the quality front, he said Indian products are inching towards global reliability.
"As strengthening the quality ecosystem fosters consumer trust in the products offered, it is imperative to build a robust quality ecosystem and adopt standardisation in the sector and export Indian standards also globally as envisioned by the Prime Minister and the government of India," he added.
By adopting and promoting Indian standards on a global scale, Thiagarajan said, "We can enhance our reputation in the international markets and ensure that our products meet the expectations of the consumers worldwide."
However, he said, "While we have made significant strikes, there is still more work to be done to drive growth in sector R&D and innovation is of paramount importance."
He said advancement in technology, particularly, artificial intelligence, has revolutionised the sector, presenting it with new market opportunities and innovative applications.
"To harness the potential of these technologies, it is crucial for the industry to proactively invest in R&D aimed at integrating artificial intelligence into consumer electronics and durables to bring innovation to the sector," Thiagarajan asserted.
To further boost the sector's competitiveness on the global stage, he said, "We must harness economies of scale and build a strong domestic ecosystem."