The construction industry in India is expected to grow by 12.0% to reach INR 45,907 billion in 2023- 24. The growth momentum is expected to continue over the forecast period, recording a CAGR of 9.9% during 2023- 2027.
So the data clearly shows that gradually our fenestration industry, and accordingly the hardware industry, will grow. There was a scare during Covid and the future was uncertain. The prices of raw materials like PVC resin, steel, aluminium were touching the sky but fortunately, things are stable at present. In the year 2022-23, we expect that majorly all companies have grown by 20 to 25 % compared to 2021-22. The hardware industry in India is around 2500 Cr (350 Cr uPVC, 1500 Cr aluminium, wood and the rest others like steel, PVC, etc.). As we can see from the above data the Industry will keep growing and the future looks bright.
Budget 2023 has focused significantly on infrastructure with nearly ₹10 trillion in direct investment from the central government. It includes the real estate development plan as well, which in turn will give business to the fenestration and hardware industries. Further, knowledge of green building, energy efficiency, urbanization, etc. are also the key areas where awareness is being created which can drive more demands for the industry, and accordingly, the hardware industry will grow. Moreover, interest rate hike by RBI has some impact on consumer affordability but still the demand will be much more than this impact.
Healthy competition is always a good factor. India has a huge population. So all kinds of products – low quality and high-end – are available, catering to all strata of buyers. Cheap quality materials can minimize the life of windows/doors. Which demoralizes the confidence of the end-user. So it is very important to supply quality hardware.
• RERA is a good solution where a 5-year warranty is a must
• ‘Make in India’ – awareness should be created on quality products
• Certifications like BIS/ISI should be implemented
It is very important to keep upgrading ourselves. Even in the automobile sector, companies bring in new models, and new technologies after every 3,4 years. The same is the case of mobile phones and all other industries. The same applies to the hardware Industry as well. We need to bring new designs & innovative product ranges. Not just the aesthetic looks but the performance of products matters. each handle, lock, roller, and hinge should be checked for 25000 cycles; plating should undergo 480 hrs salt spray test, etc. It also depends on architects who are asking for new designs in the window and accordingly, profile companies will develop sections and subsequently, hardware is made.
Innovations such as double-glazed or triple-glazed glass, and automated window systems have gained popularity due to their durability, thermal insulation properties, noise reduction capabilities, and ease of use. Standardization and certifications are a must. UWDMA is doing a great job in getting it done through BIS. Hardware companies are now coming forward for 3rd party testing facilities. Consumers should be aware that they should buy only certified products if they are looking for quality. So standardisation ensures quality, durability, security and compatibility.
The Future of the Architectural Hardware Industry
The construction output in the country is expected to reach INR 66,954.8 billion by 2027. India being a developing country, there are huge opportunities for the real estate sector. The hardware industry is still dependent so much on China. In uPVC alone, 60 % of hardware is coming from China Itself. This can be seen as an opportunity, considering ‘Make in India’ initiatives by the Government. Some government initiatives like ‘Smart Cities’, ‘Housing for All’, ‘Energy Conservation Building Code’, etc. can help the growth of the industry in coming years.