Monday 1 June 2020

India's AC market 'to grow at 17pc CAGR by 2023'

NEW DELHI, September 11, 2018

India's air conditioners market is poised for solid growth with a CAGR (compound annual growth rate) of over 17 per cent over the next five years, thanks to the soaring temperature, rising technological innovations and increasing disposable income of the population, said a report.

Growth in the country’s air conditioners market is anticipated on account of rising demand for air conditioners from residential as well as industrial sectors, extreme climatic changes and emergence of latest technologies in air conditioners, such as inverter technology and smart air conditioners, according to a TechSci Research report.

Moreover, increasing disposable income along with rapidly growing demand from Tier II & III cities is further fuelling growth in India air conditioners market, stated TechSci Research in its “India Air Conditioners Market By Product Type, By End Use Sector, Competition Forecast & Opportunities, 2013 – 2023" report.  

Voltas Limited, Daikin Airconditioning India, Blue Star, LG Electronics India are some of the leading players in the India air conditioners market.

Among regions, North dominated India air conditioners market with value shares of over 38 per cent last year, said the report.

This region is expected to generate significant demand for air conditioners and is anticipated to remain dominant through 2023 as well owing to rising construction investments, increasing urbanization and growing commercial sector across the region, it added.

On the basis of types, India air conditioners market can be broadly categorized into Light Commercial Air Conditioners, Ductable Splits, Chillers, VRFs and Others. Light commercial air conditioners dominated the market in 2017 as they are relatively less expensive than other types of air conditioners.

"Rising demand for energy efficient air conditioners has pushed manufacturers to focus on product innovation in order to fulfil the need for energy saving," remarked Karan Chechi, the research director with TechSci Research.

"For instance, LG has introduced window inverter air conditioner which is equipped with dual inverter technology and consumes much lesser energy than a conventional air conditioner," he explained.

"Moreover, booming e-commerce industry has enabled manufacturers to reach their customers easily even in farthest of regions and widen their distribution reach, which is further expected to positively influence India air conditioners market in the coming years," he added.-TradeArabia News Service

Tags: India | growth | TechSci |

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