You will be pleased to note that 2013-14 was another successful year for ICCTAS as was the last year. The overall Ceramic Tile Industry had a reasonable growth rate of approximately 12-14% during the year under review. Some of the existing organizations also went for expansion / new plants. Due to the recent retail boom and new trends in ceramic sector, there is lot of potential for Indian Ceramic industry to become a leading ceramic hub in the world. The Council continued its earlier actions in a number of areas, to site a few to include Tiles and Sanitaryware as goods of special importance under section 14 of central Sales Tax Act, 1956. The prevailing anomalies pertaining to Basic Customs Duty on import of ceramic tiles from China and raw materials imported from abroad need to be corrected to prevent dumping of tiles from China. Rural thrust should be enhanced by favorable excise duty and MRP structure, ban on export of raw materials etc.
As you are probably aware the Council is taking strides to realize its vision of becoming global. India is maintaining its position as the 3rd largest producer country and also 3rd largest consumer in the world. The Ceramic Tile industry’s size is Rs.21500 Crores .The country’s production is 750 msqm, consumption is 748 msqm, export is 40 msqm and import is at 45 msqm for the year 2013. Updated and latest technologies have been adopted by both National and Regional players. The Council has been liaisoning with the government departments to leverage the growth of the Ceramic industry. There is lot of potential for Indian Ceramic Industry to become a leading Ceramic hub in the world.
The main product segments are the Glazed Wall tile, Glazed Floor tile, Polished Vitrified tile and Glazed Vitrified tile segments. The market shares (in value terms) are 45%, 8%, 40% and 7% respectively for Glazed Wall, Glazed Floor, Polished Vitrified, and Glazed Vitrified tiles. The tiles are available in a wide variety of designs, textures and surface effects. They cater to tastes as varied from rustics to contemporary marble designs in super glossy mirror finishes.
The Indian Industry has developed an export market although at the lower end. Presently India is 11th largest exporter of tiles in the list of major exporting countries. But this reality could change as Indian exports are rising at an accelerating growth annually.
As a foreign exchange earner or a global player, Indian Tile industry is capturing the attention of the world in the ceramic tiles segment. To compete internationally, our plants must be geared up to large units currently operating in China and Turkey are driven by economies of scale. These will also help us in lowering our cost of production significantly. Also, infrastructural support is a key factor that determines the speed of growth. Better infrastructure will bring in better growth in terms of consistency and sustenance. Freight, supply of power and gas remains the key cost-related issues impacting the industry. Availability, consistent supply and reasonable rates are extremely important for the growth of the ceramic tile industry.
I am happy to announce that the Council continues getting global and national recognition.