Tyre Replacement Market in India to Surpass Rs 20000 Crore by FY’12: TechSci Research08 Sep 2010 • by Natalie Aster
Increasing number of automobiles on Indian roads will continue to drive the replacement tyre market in coming years.
According to research report “The Indian Tyre Industry Forecast 2014” by TechSci Research, the replacement tyre market turnover in India will surpass Rs. 20000 Crore by FY’12. The replacement segment, which constitutes more than 60% of the industry and a key focus area for the manufacturers due to higher margins, would continue to grow faster owing to the high growth in vehicle sales seen over the last few years. During FY’10 the overall volume sales in replacement segment were close to 50 Million units and were dominated by sales of motor cycle tyres followed by Truck/Bus tyres.
The Indian tyre manufacturers have developed vast network of dealers and distributors to increase their penetration in the market. The expanding distributor and dealer network has helped the manufacturers to tap the growing replacement market and has enabled them to cater to consumer in the corners of the country. This network accounts for majority of the turnover of the tyre manufacturers in recent years.
According G. Krishnamurthy, CEO at TechSci Research, there exist no major threat for industry growth momentum in coming years other than rising imports from other countries specially China. The exponentially increasing demand from automobile manufacturers and replacement market will continue to drive the Indian tyre industry landscape in coming years.
“The Indian Tyre Industry Forecast 2014” gives detailed and unprejudiced overview on the tyre market in India. This report helps reader to identify the ongoing trends in the industry and anticipated growth in future depending upon changing industry dynamics in coming years. The report will help industry consultant, tyre companies and other stakeholders to align their market centric strategies according to ongoing and expected trends in future.