Soda Ash Industry in India: An Overview

From the glass that is placed on the window to the detergent which is used at all homes, from the petrol that gets filled in cars’ tanks to the steel that is supporting the buildings around, every direct or indirect element that people come in contact with in their daily lives has soda ash working behind the scenes. This white and odourless alkaline powder has massive applications in the glass, petrochemical, construction and other industrial sectors. Soda ash has a considerable market in India. And the country’s current economic growth rate in the past decade has only propelled the element’s expanse. In terms of profit, soda ash manufacturers have rarely seen a downfall in recent times for the industries surrounding it are fueling the growth of this niche.

The market for soda ash

As of 2016, the global output of soda ash was nearly around 67 million tones which were equivalent to a net worth of $17 billion. China led the pack as the leading producer of soda ash in the international market, closely followed by the US and America. India contributed a considerable amount of soda ash in 2016 to the international market but it is the country’s projected growth rate that year which was most impressive. Reports suggested that the soda ash market in India will reach $2.8 billion by the year 2025 and it will see a CAGR of 13%. Already, Indian soda ash manufacturers are growing in size by leaps and bounds and spreading their wings to the international market as well.

The reason for the soda ash boom in India

The glass industry of India is one of the largest consumers of soda ash. And in 2016, the net valuation of this particular sector stood at $3.9 billion. Since then, the demand for glass by the country has only grown in the form of smartphones, laptops, televisions, and even interior decoration and naturally, the consumption of soda ash only increased in tandem to the glass industry.

Next in line is the construction sector. Already, speculations show that India’s construction market is set to become the third-largest in the world and currently, its share in GDP stands at a solid 9%. As both the glass and steel industry use soda ash in their respective manufacturing, here again, these two continue to pull the soda ash market along with it.

Agriculture and fertilisers have the next extensive use of soda ash where the pH level of soil and water is maintained using this alkaline product. Detergent continues to be a substantial industry that consumes soda ash. And a new demand which has recently crept in where governments need to maintain air quality also has soda ash right in the center.

The future

This is one industry where the future is nothing but bright. Every industry that is directly related to soda ash is projected to grow at an average rate of 7-9%. It is thus conclusive that the Indian market will have a growing need for soda ash in the coming years and can soon become a major exporter to the world out there as well.

About the Author

Sonia Kakkar is a freelance writer and a blogger who associates with brands and help them in their online brand promotions. Currently she is an associate at GHCL Limited – a well-diversified group that has ascertained its footprints in Chemicals, Textiles and Consumer Product Segments. In her free time, Sonia loves to watch movies, hangout with friends and read novels.