Indian Air Compressor Market - Forecast(2023 - 2028)
Indian Air Compressor Market value is $1.84 billion in 2018 and expected to grow at a CAGR of 6.92% during forecast period 2020-2025. Technological advancement in air compressors such as innovations in reciprocating compressor and rotary screw compressors have profound influence over the compression capabilities of the equipment and subsequently anticipated to drive the Indian air compressor market size during the forecast period. Moreover, the rise in adoption of robust and energy efficient equipment is also expected to increase the demand of Indian air compressor industry.
The report: “Indian Air Compressor Market – Forecast (2020-2025)”, by IndustryARC, covers an in-depth analysis of the following segments of the Indian Air Compressor Market Report.
- Growing adoption of portable air compressors and replacement of older equipment with new models have been creating opportunities for air compressors market.
- Increasing usage of air compressors such as reciprocating compressor, rotary screw compressor, centrifugal compressors in end user industries such as automotive, food and beverage, oil and gas, plant engineering has been pushing the air compressors market growth.
- Introduction of new products with advanced features set to boost the demand of air compressors industry.
- Increasing application of oil free compressors in healthcare industries due to stringent regulation have been proliferating the air compressors market growth.
Type - Segment Analysis
Stationary air compressors holds the major share in Indian Air Compressor market. Stationary air compressors are highly used in industries such as oil and gas, food and beverage, automotive, machinery and other manufacturing industries due to their increased capacity and greater sources of power than portable products. They are specially designed to store greater volume of air as they have larger tanker size. Upgrading stationary air compressors with air filters, and in-line lubrication is easier compared to portable air compressors, thereby driving the air compressors market of stationary type.
Application - Segment Analysis
Healthcare has been the key application for Indian Air Compressor market and is expected to grow at a CAGR of 10.21% during forecast period 2020-2025. In healthcare sector, oil-free air compressors are widely used in order to provide clean, and breathable air. Air compressors are used in medical applications such as autoclaves, patient stimulators, medical gas blooms, blood analyzers, endoscopy equipment, mammography X-ray, surgical instruments, hospital headwalls, respiratory equipment, oxygen concentrators, nebulizers and many others. Many companies have been launching oil free air compressors that can be used in healthcare applications. For instance, in 2019, ELGi Company had launched oil free air compressor range products which can be used many industrial applications including healthcare sector. Development of new air compressors for healthcare applications set to fuel the market growth in this industry.
Drivers – Indian Air Compressor Market
- Technological innovations, and high demand for portable air compressor are driving the air compressors market growth
The growing popularity of air compressors is the innovation that goes into newer models in the air compressors market. As manufacturers in India have been introducing new types of reciprocating and rotary screw air compressors, the machines become more robust, easier to operate and better equipped for some of the most demanding applications across wide range of industrial uses. As there is advancements in technology, more industries are harnessing the potential of compressed air as an energy alternative and users of air compressors trade up their equipment for newer models. Replacement of equipment with new and improved technology air compressors leads to boosted efficiency, greater ease of use and overall savings in operating costs. These qualities have been compelling users of air compressors to replace their machines regularly, thereby driving the market growth.
- Growing demand for air compressors from end user industries such as automotive, power and other manufacturing industries
There has been increasing demand of air compressors from many industries. For instance, air compressors are used in automotive industry for various applications such as air operated robots, plasma cutting and welding, tire inflation, automobile finishing and many others. According to International Organization of Motor Vehicle Manufacturers (OICA), the production of cars and commercial vehicles in India has been increased from 4.48 million to 5.17 million vehicles during 2016 to 2018. With the growing production of vehicles, there is increase in demand for air compressors. According to the Energy Statistics by Central Statistics Office, India boasts of approximately 344,002.39 MW power capacity that includes hydro, thermal, and nuclear power plants across the country. Additionally, the generation of electricity has been increased by 5.71% and the consumption increased by 7.39% during 2017-2018 period. Due to the increase in population and rapid urbanization, the demand for electricity is gaining a profitable momentum resulting into an augmented power generation which in turn creating demand for air compressors as they are an indispensable part of a power-plant, thereby driving the market growth.
Challenges – Indian Air Compressor Market
- The high cost of installation and maintenance for the equipment
The cost of air compressors ranges from $100-$600 depending on the application. Other hidden costs such as installation and operational costs associated with it restrain the market growth. Additionally, air compressors are extremely susceptible to over-heating. Compressed air can generate lots of heat and all that hot air has to be removed before it reaches to the warning temperature as it can cause damage to the system. High temperature may cause damage the air compressor over a period of time, so identification a temperature problem early is critical. Therefore, high cost of and maintenance problems have been hampering the growth of air compressors market.
Product launches, acquisitions and R&D activities are the key strategies adopted by players in the Indian Air Compressor market. The market of Indian Air Compressor top 10 companies are Ingersoll-Rand plc, ELGi, Emerson Electric Co, Hitachi Ltd, Bauer Compressors Inc, Atlas Copco AB, Kaeser Compressors, Indo-Air Compressors Pvt Ltd, Quincy Compressor, MK Engineering, and others.
Ø In December 2019, ELGi had launched electric and diesel portable air compressor which is of energy efficient at an international exhibition Centre, EXCON 2019. Adoption of this type of air compressors in various industries for energy efficiency set to increase the Indian air compressor market share.
Ø In July 2019, Atlas Copco had launched five new air compressors for the small and medium scale business units of Indian market and that can be applied in industries such as food and beverage, metal, cement, textile, foundry & forging, general engineering, auto & ancillaries, paper and many others which set to drive the demand of Indian Air Compressors market.