Industry Profile:
Speciality Chemicals are particular chemical products which provide wide variety of effects on which many other industries and sector depends. – Wikipedia
In simple words, the product of Speciality Chemicals is Raw material for Others. Different from Commodities, the composition of specialty Chemicals makes a difference in the performance of the customer product, which uses specialty Chemicals as Raw material.
The Specialty Chemicals industry is mature; for decades, many enterprises have utilized manufacturing and finished goods. Some categories are adhesives, Agrochemicals, cleaning materials, cosmetics, construction chemicals, eatable flavor, food coloring, Fragrance, Industrial gasses, lubricants, polymers, Textile related chemicals.
Growth in demand for Speciality Chemicals depends upon industrial activities. Therefore, the need for specialty Chemicals increases whenever the industrial activities increase. Mainly the driving sectors are Automobile, Textile, Infrastructure, and construction. Although the food industry is not making so much sense as the food industry, the cost of Speciality Chemicals is low compared to the total Price.
During the last ten years, specialty Chemicals have seen Lower growth and Low profitability. Consumption also shows up’s and down. But in recent times, trying to improve Margin and going through the transition by increasing Price, primarily taking place in adhesive, polymer, paper water treatment, etc. During 2014-19, 4% growth is expected in the value of consumption of specialty Chemicals all over the world.
The market is also concentrated. Top 5 specialty Chemicals like polymer, construction chemicals, industrial cleaner, electronics, and electronic chemical segments account for 37%. The principal ten components account for 61% of annual sales. Also, as Industrialisation is taking place in Asia and Africa, the sector is developing in Asian economies. Then, dominant players in the Sector were North American and Western European companies. But in recent days, it is changing. As the global chemical industry is shifting towards the Middle East, the Speciality Chemicals industry is also no exception for That.
The emergence of India as a manufacturer and supplier of Speciality Chemicals has had a significant impact on the market. Some Large player is listed and Operating in India directly or indirectly. Some of them are BASF, Clariant Chemical, AkzoNobel, etc. The Market in India is huge for Industry as well as agriculture. As Infrastructure and Textile also exist in India, India may play a key role.
Company Profile: SRF Limited was founded in 1970 and is based in Gurugram, India. SRF Limited is a subsidiary of KAMA Holdings Limited. The company was formerly known as Shri Ram Fibres and changed its name to SRF Limited in 1990.
SRF Limited manufactures, purchases, and sells technical textiles, chemicals and polymers, and packaging films in India, Singapore, Germany, the United States, Belgium, and international addition, Italy. In addition, it offers tire cord, belting, coated, laminated fabrics, fishnet twines, and industrial yarns. The company also provides fluorochemicals under the Floron, Dymel, Shakti, and Supertron brands, such as refrigerants for room air-conditioners, automobile air-conditioners, refrigerator, and chiller applications, as well as propellants for the pharmaceutical sector; and solvents used in various applications comprising feedstock for pharmaceutical and agrochemicals, metal de-greasing, foam-blowing, and dry-cleaning. In addition, it provides advanced intermediates for the agrochemical and pharmaceutical industries. Further, the company offers polyamide six and polyamide 66 engineering resins under the TUFNYL brand name; polybutylene terephthalate (PBT) engineering resins used in the electrical and electronics Industry under the TUFBET brand name; polycarbonate (PC) engineering resins under the TUFPC brand name primarily for automotive and electrical applications; polyethylene terephthalate (PET) engineering resins under the ENGOPET brand name used in automotive, electrical and electronics, furniture, and medical industry applications; polyphenylene sulfide engineering resins under the TUFMET brand name used in ignition coils, throttle body, fuel pump parts, inlet tank, water pump, water pump impeller, crankshaft flange, and fuel injection rail; and PC-PBT, PBT-PET, and PC-ABS alloys. Additionally, it provides bi-axially oriented polyethylene terephthalate films under PETLAR and bi-axially oriented polypropylene films under the OPLAR brand name.
Shareholding Pattern: BSE filing
Financials and ratio: [table id=216 /]
Future Prospects: Fluorspar production is on an upswing, and the company is doing great. Various brokerage houses hang good ratings on the company.
