The India Naphtha market has grown significantly in the period of FY2015-FY2023 and reached approximately 14.5 million tonnes in FY2023 and is anticipated to grow at a steady CAGR of 5.16% by FY2032.
The name "naphtha" refers to petroleum fractions that are high in cycloalkanes, which are saturated, ring-shaped hydrocarbons. This product exists between the light gases of crude oil and the heavier liquid kerosene. Naphtha is extremely volatile in nature as well as highly flammable. Naphtha is used as a feedstock to produce a vast variety of petrochemicals such as Ethylene, Propylene, Styrene, Butadiene, etc. which find varied applications in industries like rubber, plastics, solvents, and many others. Naphtha is primarily employed as a base material for the production of high-grade gasoline through the catalytic reforming process. India’s “Hydrocarbons Vision – 2025” aimed at expanding indigenous production of petroleum products and reducing the demand supply gap by FY2025 is likely to support the Naphtha market expansion in the forecast period. The India Naphtha market is expected to reach approximately 23 million tonnes by FY2032.
Based on region, the India Naphtha Market is segregated into North, South, East, and West. In the historic period of FY2015-FY2023, West India has been dominating the market followed by East India. is mostly due to an increase in naphtha demand in downstream industries and end-user industries including crude blending, steam cracking, motor petrol mixing, reformation to aromatics, etc.
Based on type, the global Naphtha market is divided into Light Naphtha and Heavy Naphtha. Heavy Naphtha is dominating the market. Light naphtha is used in steam crackers as a petrochemical feedstock to produce ethylene, which is then used to make polyethylene and other products. Light Naphtha is rich in olefins. Hence, it is the most preferred feed for steam crackers for producing a wide range of olefins /polyolefins such as ethylene, propylene, etc. Heavy Naphtha is mainly used for the production of aromatic products such as Benzene, Toluene, Xylene, etc. In addition, Heavy Naphtha is also used in gasoline reforming to increase its octane number.
Based on end-use, the India Naphtha market is segregated into Gasoline Blending, Steam Cracking, Naphtha Reforming, and Others. Among these, Gasoline Blending is dominating the segment of Naphtha. This segment held roughly 62% of the Naphtha market in FY2023. Due to the increasing demand for high-octane fuel from the transportation industry, India’s Gasoline blending is anticipated to maintain its dominance in the forthcoming years. This industry is followed by Steam Cracking applications which are expanding exponentially due to the rigorous expansion of the domestic refiners with India’s rising focus on the “Make in India” policy. Additionally, rising demand for olefins and polyolefins for making plastics used in the construction, electrical and electronics, and packaging industries, as well as increasing use of aromatics in the production of edible oils, rubber, and personal care products, will further drive the market growth in the upcoming years.
Significant players in the India Naphtha market are Hindustan Petroleum Corporation Limited, Reliance Indusries Limited, HPCL-Mittal Energy Ltd (HMEL), Bharat Petroleum Corporation Limited, Oil and Natural Gas Corporation Limited, Indian Oil Corporation Limited, Nayara Energy Limited, Gail (India) Limited, Numaligarh Refinery Limited (NRL), and Others.
Years considered for this report:
Historical Period: FY2015-FY2023
Base Year: FY2023
Estimated Year: FY2024
Forecast Period: FY2025- FY2032
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Objective of the Study:
• To assess the demand-supply scenario of Naphtha which covers production, demand and supply of Naphtha market in India.
• To analyse and forecast the market size of Naphtha in India.
• To classify and forecast India Naphtha market based on end-use and regional distribution.
• To examine competitive developments such as expansions, green field projects/ brown field expansions. mergers & acquisitions, etc., of Naphtha market in India.
To extract data for India Naphtha market, primary research surveys were conducted with Naphtha manufacturers, suppliers, distributors, wholesalers and Traders. While interviewing, the respondents were also inquired about their competitors. Through this technique, ChemAnalyst was able to include manufacturers that could not be identified due to the limitations of secondary research. Moreover, ChemAnalyst analyzed various segments and projected a positive outlook for India Naphtha market over the coming years.
ChemAnalyst calculated Naphtha demand in India by analyzing the historical data and demand forecast which was carried out considering the imports and domestic production coupled with demand from end user industry. ChemAnalyst sourced these values from industry experts and company representatives and externally validated through analyzing historical sales data / import data of Naphtha to arrive at the overall market size. Various secondary sources such as company websites, association reports, annual reports, etc., were also studied by ChemAnalyst.
Key Target Audience:
• Naphtha manufacturers and other stakeholders
• Organizations, forums and alliances related to Naphtha distribution
• Government bodies such as regulating authorities and policy makers
• Market research organizations and consulting companies
The study is useful in providing answers to several critical questions that are important for industry stakeholders such as Naphtha manufacturers, customers and policy makers. The study would also help them to target the growing segments over the coming years, thereby aiding the stakeholders in taking investment decisions and facilitating their expansion.
Report Scope:
In this report, India Naphtha market has been segmented into following categories, in addition to the industry trends which have also been detailed below:
Attribute
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Details
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Market size Volume in FY2023
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14.5 million tonnes
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Market size Volume by FY2032
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23 million tonnes
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Growth Rate
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CAGR of 5.16% from FY2024 to FY2032
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Base year for estimation
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FY2024
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Historic Data
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FY2015 – FY2023
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Forecast period
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FY2025 – FY2032
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Quantitative units
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Demand in million tonnes and CAGR from FY2024 to FY2032
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Report coverage
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Industry Market Size, Capacity By Company, Capacity by Location, Operating Efficiency, Production by Company, Demand by Type, Demand by End- Use, Demand by Region, Demand by Sales Channel, Demand-Supply Gap, Company Share, Foreign Trade, Port-wise Import
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Segments covered
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By Type: (Light Naphtha and Heavy Naphtha)
By End-Use: (Gasoline Blending, Steam Cracking, Naphtha Reforming, and Others)
By Sales Channel: (Direct Sale and Indirect Sale)
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Regional scope
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North India, South India, East India, West India
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Pricing and purchase options
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Available Customizations:
With the given market data, ChemAnalyst offers customizations according to a company’s specific needs.
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