Indian Bitumen Market  
       
       
       
       
       
       
       
       
       
       
       
       
       
       
       
       
            Indian Bitumen Market 
              Indian Bitumen Market 
       
                              2016 
                                   
       
                               2016 
       
                       
                  
                                     
             Contents 
             Chapter 1: Background to The Indian Market .............................................................................................................. 10 
                1.1. Macroeconomic Trends and Outlook ...................................................................................................................... 10 
                   1.1.1. India’s Annual GDP Growth .............................................................................................................................. 12 
                   1.1.2. Crude Oil & Natural Gas Production ................................................................................................................ 13 
                   1.1.3. Import of Crude Oil .......................................................................................................................................... 13 
                   1.1.4. Production & Consumption of Petroleum Products ........................................................................................ 14 
                   1.1.4. Imports & Exports of Petroleum Products ....................................................................................................... 14 
                   1.1.6. Foreign Direct Investment (FDI) Inflows .......................................................................................................... 15 
                   1.1.7. Recent Developments ...................................................................................................................................... 15 
                   1.1.8. GoI’s Initiatives ................................................................................................................................................. 16 
                   1.1.9. Road Ahead for the Indian Economy ............................................................................................................... 16 
                1.2. Overview of the Indian Construction Sector ........................................................................................................... 16 
                   1.2.1. Indian Residential Construction Market: An Overview .................................................................................... 18 
                   1.2.2. Indian Commercial Construction Market: An Overview .................................................................................. 19 
                   1.2.3. Indian Infrastructure Construction Market: An Overview ............................................................................... 20 
             Chapter 2: Indian Bitumen Market Overview .............................................................................................................. 22 
                2.1. Bitumen Market Segmentation ............................................................................................................................... 22 
                   2.2.1. Bitumen Paving Products ................................................................................................................................. 22 
                   2.2.2. Bitumen Roofing Products ............................................................................................................................... 26 
                   2.2.3. Bitumen: Other Products ................................................................................................................................. 29 
                2.2. Industry Dynamics ................................................................................................................................................... 32 
                   2.2.1. Market Drivers ................................................................................................................................................. 32 
                   2.2.2. Market Restraints ............................................................................................................................................. 36 
                2.3. Market Trends and Developments .......................................................................................................................... 39 
                2.4. Technology Trends .................................................................................................................................................. 43 
                   2.4.1. Bitumen Production ......................................................................................................................................... 43 
                   2.4.2. Bitumen Packaging ........................................................................................................................................... 44 
                2.5. Environmental and Regulatory Issues ..................................................................................................................... 48 
             Chapter 3: Analysis of the Indian Bitumen Market ...................................................................................................... 53 
                3.1. Demand Analysis ..................................................................................................................................................... 53 
                   3.1.1. Bitumen Demand Analysis by Product ............................................................................................................. 58 
                   3.1.2. Bitumen Demand Analysis by Grade ................................................................................................................ 59 
                3.2. Supply/Production Analysis ..................................................................................................................................... 63 
                   3.2.1. Production Capacity of Bitumen ...................................................................................................................... 63 
                   3.2.2. Plant Utilization ................................................................................................................................................ 64 
                3.3. International Trade in Bitumen - Import ................................................................................................................. 65 
                   3.3.1. Indian Bitumen Import by Grade ..................................................................................................................... 66 
                   3.3.2. Bitumen Imports by Terminals ......................................................................................................................... 69 
                   3.3.3. Indian Bitumen Import by Origin ..................................................................................................................... 71 
                3.4. Pricing Analysis ........................................................................................................................................................ 73 
                   3.4.1. Domestic Production ........................................................................................................................................ 73 
                   3.4.1. Bitumen Prices by Imports ............................................................................................................................... 74 
                3.5. Market Outlook ....................................................................................................................................................... 78 
                   3.5.1. Market by Volume ........................................................................................................................................... 78 
                   3.5.2. Market by Value ............................................................................................................................................... 79 
             Chapter 4: Competitive Landscape .............................................................................................................................. 80 
                4.1. Market Structure ..................................................................................................................................................... 80 
              ©Copyright Datamatics Financial Services Limited 2016                                                             2 
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                4.2. Porters Five Forces Analysis .................................................................................................................................... 81 
                4.3. Merger & Acquisition Activities ............................................................................................................................... 84 
             Chapter 5: Major Players ............................................................................................................................................. 86 
                5.1. Refiners.................................................................................................................................................................... 86 
                   5.1.1. Indian Oil Corporation Ltd. (IOCL) .................................................................................................................... 86 
                   5.1.2. Bharat Petroleum Corporation Limited (BPCL) ................................................................................................ 91 
                   5.1.3. Hindustan Petroleum Corporation Limited (HPCL) .......................................................................................... 95 
                   5.1.4. Essar Oil ............................................................................................................................................................ 99 
                5.2. Traders ................................................................................................................................................................... 102 
                   5.2.1. Tiki Tar Industries India Ltd ............................................................................................................................ 102 
                   5.2.2. Vinergy International Pvt Ltd. (VIPL) .............................................................................................................. 104 
                   5.2.3. RoadStar Bitumen India Pvt. Ltd. (RoadStar) ................................................................................................. 106 
                5.3. Importers ............................................................................................................................................................... 107 
                   5.3.1. Tarang Exports Private Limited (Tarang Exports) ........................................................................................... 107 
                   5.3.2. Bitumen Corporation (India) Private Ltd. (BITCOL) ........................................................................................ 109 
                   5.3.3. Maruti Bitumen Pvt. Ltd (Maruti Group) ....................................................................................................... 110 
                   5.3.4. Gulf Petrochem Free Zone Company (GPFZC) ............................................................................................... 112 
                5.4. End Users ............................................................................................................................................................... 115 
                   5.4.1. Larsen & Toubro Limited (L&T) ...................................................................................................................... 115 
                   5.4.2. IRB Infrastructure Developers Ltd. (IRB) ........................................................................................................ 120 
                   5.4.3. National Highway Authority of India (NHAI) .................................................................................................. 123 
                   5.4.4. Dilip Buildcon Limited (DBL) ........................................................................................................................... 125 
             Chapter 6: Appendix .................................................................................................................................................. 128 
                6.1. Contact database of Major Players ....................................................................................................................... 128 
                   6.1.1. Refiners Details .............................................................................................................................................. 128 
                   6.1.2. Traders Details ............................................................................................................................................... 129 
                   6.1.3. Importers Details ............................................................................................................................................ 129 
                   6.1.4. End Users Details............................................................................................................................................ 130 
                6.2. Report Methodology & Sources of Information .................................................................................................... 131 
                6.3. List of Abbreviations .............................................................................................................................................. 135 
                Disclaimer and Legal Notices ........................................................................................................................................ 139 
              
              
                                                 
              ©Copyright Datamatics Financial Services Limited 2016                                                             3 
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             List of Figures 
             Figure 1: India: Annual GDP growth (%) ............................................................................................................................. 12 
             Figure 2: India: Sector-wise growth rate, 2006 - 2020 (%) ................................................................................................. 12 
             Figure 3: India: Construction industry landscape ............................................................................................................... 17 
             Figure 4: India: Split of construction activities 2015 (%)..................................................................................................... 17 
             Figure 5: India: Annual growth in the construction industry, 2005–2014 (INR bn) ............................................................ 18 
             Figure 6: India: Demand analysis of the top eight cities, 2015 (’000 units) ........................................................................ 18 
             Figure 7: India: Residential market demand and supply analysis, 2015 (%) ....................................................................... 19 
             Figure 8: India: Shortage in urban-rural housing (million units) ......................................................................................... 19 
             Figure 9: India: Infrastructure output 2015 – 2017 (actual & estimated; %)...................................................................... 20 
             Figure 10: India: Bitumen consumption by application, 2015 (%) ...................................................................................... 22 
             Figure 11: India: Classification of target audience for bitumen paving products ............................................................... 25 
             Figure 12: India: Types of road damage.............................................................................................................................. 38 
             Figure 13: India: Total PPP projects in India, November 2015 ........................................................................................... 42 
             Figure 14: Pörner bitumen bags ......................................................................................................................................... 47 
             Figure 15: Sandvik palletized packaging system for bitumen ............................................................................................. 48 
             Figure 16: HTPC India bitumen packaging in corrugated cardboard .................................................................................. 48 
             Figure 17: India: Annual bitumen consumption (TMT) ....................................................................................................... 53 
             Figure 18: India: Comparison of bitumen consumption by public & private sector (TMT) ................................................ 54 
             Figure 19: India: State-wise bitumen consumption FY 2014–15 (TMT) .............................................................................. 56 
             Figure 20: India: Classification of bitumen by grade ........................................................................................................... 61 
             Figure 21: India: Bitumen demand analysis by grade 2014–15 (%) .................................................................................... 62 
             Figure 22: India: Annual bitumen production, 2011–2015 (TMT) ...................................................................................... 64 
             Figure 23: India: Annual Bitumen Import: Top five types* (TMT) ...................................................................................... 67 
             Figure 24: India: Annual Bitumen Import: By top five Terminals* (TMT) ........................................................................... 69 
             Figure 25: India: Annual Bitumen Import: By top five origins* (TMT) ................................................................................ 71 
             Figure 26: India: Annual prices of domestic bitumen: by quarter (USD/tonne) ................................................................. 74 
             Figure 27: India: Annual average prices of five major bitumen types by imports (USD/tonne) ......................................... 75 
             Figure 28: India: Historical and future projections for bitumen demand FY 2012–21 (TMT) ............................................. 78 
             Figure 29: India: Historical and future projections for bitumen demand FY 2012–21 (INR Million) .................................. 79 
             Figure 30: India: Share of key players in production FY 2014–15 (%)................................................................................. 80 
             Figure 31: India: Porter’s Five Forces for the bitumen market ........................................................................................... 81 
             Figure 32: IOCL: Organization Structure ............................................................................................................................. 87 
             Figure 33: IOCL: Annual Refinery Throughput (MMT) ........................................................................................................ 87 
             Figure 34: IOCL: Annual Capacity Utilization (%) ................................................................................................................ 87 
             Figure 35: IOCL: Annual Revenue (INR billion) .................................................................................................................... 88 
             Figure 36: IOCL: Annual Net Profit (INR billion) .................................................................................................................. 88 
             Figure 37: IOCL: Annual Domestic POL (Petroleum, Oil, & Lubricants) Sales (MMT) ......................................................... 88 
             Figure 38: IOCL: Planned Capital Expenditure for 2016-17 (INR billion) ............................................................................. 90 
             Figure 39: BPCL: Organization Structure ............................................................................................................................. 91 
             Figure 40: BPCL: Annual Bitumen Sales Volume and Production (MMT) ........................................................................... 92 
             Figure 41: BPCL: Annual Refining Throughput (MMT) ........................................................................................................ 92 
             Figure 42: BPCL: Annual Revenue (INR billion) ................................................................................................................... 93 
             Figure 43: BPCL: Annual Net Profit (INR billion) ................................................................................................................. 93 
             Figure 44: HPCL: Organization Structure (Business Verticals / Regions) ............................................................................ 95 
             Figure 45: HPCL: Annual Refinery Throughput (MMT) ....................................................................................................... 96 
             Figure 46: HPCL: Annual Capacity Utilization (%) ............................................................................................................... 96 
             Figure 47: HPCL: Annual Bitumen Sales Volume and Production (MMT) ........................................................................... 96 
              ©Copyright Datamatics Financial Services Limited 2016                                                             4 
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