Glass – Spectacular Growth
India’s per capita glass consumption is 1,4 kg for container glass, used for making jars and bottles, and 0,8 kg for flat glass, used in the construction and automotive industry. This is much lower than the 8–9 kg/person average for both types of glass in other developing countries such as China, Thailand and Malaysia. In the developed world, the average is 20–22 kg. Starting from a low base, the EUR 1,44 billion (INR 90 billion) glass industry in India is forecast by the association to grow 10 – 12 % annually over the next 3 years. Most of the glass demand in India currently comes from container glass, which accounts for 50 % of the country’s glass consumption by value. The other big use of glass accounting for 40 % of the use by value, is in the construction and the automotive industries. Here demand is expected to grow at 15 – 18 % over the same period. In fact, the country’s demand for flat glass is so high that it imports 8 % of its requirements. While 60 % of the glass used in the construction industry, accounting for 80 % of the flat glass usage, is domestically produced, only 40 % of the glass used for car windows is domestically produced, prompting foreign glass manufacturers to enter India’s lucrative market. Saint Gobain, the French glass maker, and Asahi, from Japan, hold 35 % and 20 % market shares, according to the association. Somany said that his company, Hindusthan National Glass, is investing EUR 137 million (INR 8,5 billion) over the three years to try to increase its share to 33 % in the next three years (07/2011).