Leading North American PVC resin and construction products maker Georgia Gulf Corp. is evaluating the market in India.
“India's PVC market has been growing dramatically in the last few years and we are trying to see how our resin and compound technology fits into India's market,” said Kevin Skrada, Georgia Gulf general manager for PVC compounds, in an interview at Vinyl India, held April 12-13 in Mumbai.
The company has been exporting resin, compounds, pipe and fittings to India in small quantities.
“We are looking beyond pipes and fittings,” Skrada said.
“We have to be in India to produce locally to be cost-effective — otherwise, supplying from the U.S. is unviable due to the long distance between both the countries. High freight rates make it prohibitive,” Skrada said.
The Atlanta-based company is examining options for entering India and hopes to make a decision by 2013.
Georgia Gulf is successful in certain cost-effective, flame-retardant applications that may fit into the price-conscious Indian market.
“We think they could be a good fit as a value-added application for rigid PVC,” he said. “Nobody offers the kind of technology here that we have developed elsewhere, and bringing that to India is going to be a good fit for us.”
The company sees opportunity in the 1.2 billion Indian population and swelling size of the Indian middle class.
Right now most of the market for PVC compounds in India is in pipe, fittings, cable and other commodity products.
Skrada said Georgia Gulf also wants to bring specialty products to India.
“The bottom line is, many applications do not exist here in PVC and we strongly feel that they should be here in India,” he said.