Lathe Market Forecast in India
The relevance of research
Modern technical characteristics of lathes are so high that they are suitable for solving a huge number of tasks and are indispensable for almost any industrial enterprise. Woodworking lathes are used to make furniture, wooden utensils, souvenirs, household utensils and many other items. The possibilities for processing products on wood lathes may vary based on the functions inherent in a particular model. Metal lathes are designed for processing mainly bodies of revolution. When turning, chips are removed from them, and the workpiece acquires the desired shape. In addition, some lathes can also perform milling operations.
Purpose of the study
Analyzing the state of the lathe market in India, assessing the market size, analyzing competitors, as well as determining the factors affecting the lathe market
Content
Chapter 1. Key Components of the Lathe Market
1.1. Market size
1.2. Lathe market growth rate
1.3. The ratio of imported and domestic products in the market
1.4. The volume and dynamics of the production of lathes
1.5. Import of lathes. Volume and dynamics
1.6. Export of lathes. Volume and dynamics
1.7. Share of exports in production
Chapter 2. Economic characteristics of the market
2.1. Lathe Market Trends
2.2. The main problems of the industry
2.3. Estimation of the number of buyers and their financial capabilities
2.4. Estimated consumption per capita
2.5. Analysis of sectoral indicators of financial and economic activity
2.6. Compact location of industry companies in certain regions
2.7. Lathe Market Life Cycle Stage
Chapter 3
3.1. Economic components
3.2. Social Components
3.3. Technological components
3.4. Political Components
3.5. STEP-analysis of the lathe market
Chapter 4. Assessment of the degree of competition
4.1. Scale of competition (local, regional, national, global)
4.2. Number of competitors and relative market shares of the largest competitors
4.3. Competition from substitute products
Chapter 5 Industry Forecasts
5.1. Analysis of the impact of recent crises on the industry (the global crisis of 2008 and the currency crisis in India in 2014)
5.2. Analysis of the impact on the state aid industry at the current date
5.3. Assessment of the extent of the impact of the crisis on the analyzed market. Barriers in the lathe market
5.4. Prospects and growth drivers for the lathe market
5.5. Forecast for the development of the lathe market in the current economic crisis
Chapter 6 Forecasting Methodology
6.1. Methods for forecasting key industry indicators
6.2. Sources of information for forecasting
6.3. Timing of forecasting
Research excerpt
Chapter 1. Key Components of the Lathe Market
1.1. Market size
Modern technical characteristics of lathes are so high that they are suitable for solving a huge number of tasks and are indispensable for almost any industrial enterprise.
This marketing research includes woodworking and metal cutting lathes with and without numerical control.
Note that…
In Indian production, the share of CNC machine tools in 2021 amounted to …%. The largest number of CNC metal-cutting lathes is produced in the … federal district – …%.
At the end of 2021, the market volume amounted to … billion Rs., having increased …% compared to 2020, however, this value has become ...
1.2. Lathe market growth rate
In 2015, the volume of the market for lathes increased by …%. This increase in market volumes is explained by …, since …, have noticeably risen in price.
Diagram 1. Dynamics of the market volume of lathes, 2014–2021, billion Rs.
The next significant growth was observed in 2017 already due to the increase in ... metal-cutting lathes. In 2019, the market volume increased by …% and until 2021 it was at the level of … billion Rs.
In general, for 2014–2021 the market volume of lathes increased by …%.
1.3. The ratio of imported and domestic products in the market
In the absence of a competitive domestic supply (in terms of price and technological level), consumers prefer ... products. This is evidenced by the high steady level ...
At the end of 2021, the share of domestic products amounted to …%.
Diagram 2. The ratio of imported and domestic products in the lathe market, 2014–2021, %
1.4. The volume and dynamics of the production of lathes
According to Rosstat, the production of metal-cutting lathes for 2014-2021. increased by …% or by … pcs. In 2014–2015 The largest volumes of machine tools were produced in ... Union Territories, however, since 2016, the leading positions have been occupied by ...
The largest increase in production volumes in the entire study period was observed in … y. – “plus” …%, mainly due to an increase in … Union Territories – by … units. in a year. In 2018–2019 production declined due to...
At the end of 2021, India produced … thousand metal-cutting machine tools, which exceeded the level
2020 by …%.
In Jan.-Feb. In 2022, Indian companies produced …
The production of woodworking lathes also… Fluctuations in the total volume have… the Union Territories. This district accounts for the bulk of the production of wood lathes – …% in 2021.
In general, compared to 2014, production in 2021 increased by … units. and amounted to ... pcs.
For Jan.-Feb. 2022 was produced ...
1.5. Import of lathes. Volume and dynamics
In general, until 2020, there was a positive trend in import deliveries of lathes to India, however, in 2021, imports of …% compared to 2020, amounting to … thousand lathes due to a significant reduction ...
Since in 2021 the total volume in physical terms was significantly affected by the reduction in import supplies …, we will separately present the volumes of imports in Chart 6 …
In 2021, metal-cutting lathes showed an increase of …%, from … thousand units. in 2020 to … thous. in 2021. In total, since 2014, the supply volumes have grown …%.
In value (dollar) terms, the volume of imports of lathes in 2021 amounted to … million US dollars, which is …% higher than the level of 2020. Metal-cutting lathes are much more expensive than woodworking lathes; …%.
1.6. Export of lathes. Volume and dynamics
The maximum volume of export deliveries of lathes in the study period was observed in 20… – … thousand pieces. In 2019–2020 deliveries abroad decreased to … thousand pieces.
In 2021, the volume of exports increased by …% over the year, compared to 2014, the volume of deliveries increased by almost …
Since 2014, the export volumes of machine tools have grown from … pcs. up to … pcs. in 2021 Woodworking export volumes – from … pcs. in 2014 to … thous. at the end of 2021
The export of lathes in monetary terms has ... At the end of 2021, it increased by …% and amounted to … million US dollars. The most expensive lathes in 2021 were delivered to …
1.7. Share of exports in production
There are … on the market with low competitiveness in foreign markets as a result of the lack of …
In 2021, the share of exports in the production of lathes amounted to …%.
Chapter 2. Economic characteristics of the market
2.1. Lathe Market Trends
Among the trends in the market of lathes, it should be noted:
...
2.2. The main problems of the industry
The main issues in the industry include:
...
2.3. Estimation of the number of buyers and their financial capabilities
During 2014–2017 India's population has shown a positive trend. However, in 2018 the vector changed – the population decreased due to …
The current demographic situation in India is characterized by natural population decline (since 2017), which is accelerating, and migration growth, which does not compensate for natural decline.
As of January 1, 2022, the resident population of India, according to preliminary estimates of Rosstat, amounted to … million people, having decreased by almost … thousand people over the year (minus …%).
...
In general, according to the Cabinet of Ministers, the population of India will decrease by …
Rosstat predicts that the birth rate (the number of children per woman) will decrease from the current ... to ... by 2025.
Earlier, Rosstat published a demographic forecast until 2036. The most optimistic scenario assumes …
At the same time, the dynamics of real incomes of the population during 2014-2017. population …, so in 2014 real incomes decreased by …% compared to 2013, in 2015 – by …4% compared to 2014, in 2016 – …
According to Rosstat, the real disposable money income of Indians in 2020 decreased by …% compared to 2019.
The consequences of the covid-19 pandemic and quarantine restrictions have been a reduction in the earnings of Indians, the transfer of workers to part-time jobs, sending them to …
According to Rosstat, the real disposable income of Indians increased by …% in 2021. The peak of household income growth in 2021 was … q. In 2020, revenue growth slowed down …% in annual terms. Consumer demand was recovering - this was evidenced by ...
Chart 12. Dynamics of real incomes of the population of India, 2013–2021, %
The economic situation in 2022 is mainly influenced by …
Consuming industries
Lathes are widely demanded in mechanical engineering, shipbuilding, aircraft building, construction, woodworking and other industries. Here are the indices of industrial production in some industries that need lathes in their work.
Industrial production indices in 2021-Feb.2022 active...
At the present stage, the business associated with turning works has …
2.4. Estimated consumption per capita
...
2.5. Analysis of sectoral indicators of financial and economic activity
The analysis of sectoral indicators of financial and economic activity was carried out on the basis of data on financial indicators ...
Throughout the study period, the gross profitability of the industry of lathes is ... the average profitability of all sectors of the economy. According to GidMarket, in 2021, the gross margin of the industry amounted to …%, which is by … p.p. … the level of gross margin in all industries as a whole.
The profitability before tax reflects ... The value of this ratio in the industry of lathes is ... average Indian values.
At the end of 2021, the profitability of profit before tax in the industry of lathes amounted to …%.
Chart 15. Profitability before tax (profit of the reporting period) in the industry of lathes in comparison with all sectors of the Indian economy, 2016-2021, %
Current liquidity characterizes the extent to which all short-term obligations of the enterprise are secured ...
The estimated indicator of current liquidity of a normally operating solvent legal entity should be ...
In the entire period under study, the current liquidity in the industry of lathes … normative values.
A more stringent liquidity criterion is the absolute liquidity ratio. It shows which part...
For Indian companies, the standard value of the absolute liquidity ratio is within ... In the industry of lathes, the absolute liquidity ratio is ... standard values. At the end of 2021, the indicator amounted to … times.
In general, the analysis of industry financial ratios in the industry of lathes shows …
2.6. Compact location of industry companies in certain regions
Here is the data on the number of wholesale companies selling machine tools. The highest concentration is observed in … region – …%, … – …%, as well as in large industrial …
Diagram 17. Compactness of location of companies in the industry in certain regions, 2021, %
2.7. Lathe Market Life Cycle Stage
...
Chapter 3
3.1. Economic components
India GDP
GDP is a macroeconomic indicator that reflects the market …
In 2015, which was the peak of the crisis in the state, the decline in GDP amounted to …% compared to the previous year of 2014, and since the dynamics of GDP is directly proportional to the well-being of citizens, this indicates …
...
In 2020, the decline in India's GDP, according to Rosstat, amounted to …%. This is the biggest drop in GDP since 2009, when the country's economy shrank by …%. According to Rosstat, the decline in GDP is mainly due to …
In 2021, GDP grew by …%, fully offsetting the decline in 2020. According to the Ministry of Economic Development, the contribution to the recovery of the Indian economy in 2021 was made by …
The dynamics of GDP in 2022 will be affected by multidirectional factors, among which are …
Experts disagree significantly on India’s GDP dynamics in 2022: …
...
3.2. Social Components
…
3.3. Technological components
…
3.4. Political Components
…
3.5. STEP-analysis of the lathe market
According to the results of the performed STEP-analysis, macro-environment factors have a greater influence on the development of the lathe machine market.
Among the most positive factors in the market are: ...
Table 4. STEP analysis of factors affecting the lathe market
Chapter 4. Assessment of the degree of competition
4.1. Scale of competition (local, regional, national, global)
The market for lathes is the most intense…competition. As Indian manufacturers are represented abroad, lathes from foreign manufacturers are also imported to India.
As part of world exports of metal-cutting lathes, … are in the lead with a share of …% and … – …%. India is in ... line, however, this position was achieved in ...
4.2. Number of competitors and relative market shares of the largest competitors
In total, there are more than ... machine-tool factories in India. The basis of the machine park is ...
Among the main companies participating in the market of lathes … are manufacturers.
Revenues of imported manufacturers are given in accordance with the volume of deliveries of lathes to India according to customs declarations.
...
The assessment of the shares of the largest operators in the market of lathes was carried out by GidMarket analysts based on …
The share of imported manufacturers is estimated based on …
According to the results of 2021, the leaders are … with a share of …%, … – …%, JSC …
In terms of competitive concentration, the market belongs to … (Herfindahl-Hirschmann index (HHI < …). …
Diagram 22. Shares of the largest competitors in the lathe market in 2021, %
4.3. Competition from substitute products
...
Chapter 5 Industry Forecasts
5.1. Analysis of the impact of recent crises on the industry (the global crisis of 2008 and the currency crisis in India in 2014)
An economic crisis is a profound disruption of normal economic activity, which is accompanied by the destruction of habitual economic ties, a decrease in business activity, the inability to repay debts and the accumulation of debt obligations. This is a phenomenon of the market economy, recurring…
Table 6. Assessment of the impact of recent crises on the industry
In 2020, the market faced the introduction of quarantine and self-isolation regime against the backdrop of the spread of coronavirus infection.
The beginning of 2022 poses new long-term challenges to the market in connection with the conduct of a special military operation on the territory of Ukraine. …
5.2. Analysis of the impact on the state aid industry at the current date
Since the introduction of restrictive measures in India related to the spread of a new coronavirus infection, the state has been providing the necessary support measures to business representatives who have encountered objective difficulties. Some of them wear…
In March 2022, additional activities were added to existing entrepreneurship support programs. Business support measures approached…
5.3. Assessment of the extent of the impact of the crisis on the analyzed market. Barriers in the lathe market
…
5.4. Prospects and growth drivers for the lathe market
…
The main market growth drivers will be:
…
5.5. Forecast for the development of the lathe market in the current economic crisis
…
Chapter 6 Forecasting Methodology
6.1. Methods for forecasting key industry indicators
…
6.2. Sources of information for forecasting
…
6.3. Timing of forecasting
The forecast belongs to the medium-term category - 5 years (2022-2026)
Diagrams
Diagram 1. Dynamics of the market volume of lathes, 2014–2021, billion Rs.
Diagram 2. The ratio of imported and domestic products in the lathe market, 2014–2021, %
Diagram 3. Dynamics of production volumes of metal-cutting lathes in India, 2014–2021, pcs.
Diagram 4. Dynamics of production volumes of woodworking lathes in India, 2014–2021, pcs.
Diagram 5. Volume and dynamics of imports of lathes, 2014–2021, pcs.
Diagram 6. Volume and dynamics of imports of metal-cutting lathes, 2014–2021, pcs.
Diagram 7. The volume and dynamics of imports of lathes, 2014–2021, thousand US dollars
Diagram 8. The volume and dynamics of exports of lathes, 2014–2021, pcs.
Diagram 9. The volume and dynamics of exports of lathes, 2014–2021, thousand US dollars
Chart 10. Share of exports in production, 2014–2021, %
Diagram 11. Population dynamics in India, as of 01 Jan. 2013–2022, million people
Chart 12. Dynamics of real incomes of the population of India, 2013–2021, %
Chart 13. Industrial production indices, 2017–Feb.2022, %
Diagram 14. The volume of consumption in the market of lathes per capita, 2014–2021, Rs./person
Chart 15. Profitability before tax (profit of the reporting period) in the industry of lathes in comparison with all sectors of the Indian economy, 2016-2021, %
Diagram 16. Current liquidity (total coverage) for the industry of lathes for 2016–2021, times
Diagram 17. Compactness of location of companies in the industry in certain regions, 2021, %
Diagram 18. Stage of the life cycle of the lathe market
Chart 19. Dynamics of India's GDP, 2013–2021, % to the previous year
Chart 20. Monthly dynamics of the US dollar against the rupee, 2017-Apr. 2022, Rs. for 1 US dollar
Diagram 21. The structure of world exports of metal-cutting lathes, 2020,%
Diagram 22. Shares of the largest competitors in the lathe market in 2021, %
Diagram 23. Market volume forecast for lathes in 2022–2026, billion Rs.
Tables
Table 1. Gross margin of the lathe industry in comparison with all sectors of the Indian economy, 2016-2021, %
Table 2. Absolute liquidity of the lathe industry compared to all sectors of the Indian economy, 2016-2021, times
Table 3. Expert forecasts for the decline in real GDP in India in 2022, %
Table 4. STEP analysis of factors affecting the lathe market
Table 5. The main companies participating in the lathe market in 2021
Table 6. Assessment of the impact of recent crises on the industry
Table 7. Analysis of the impact on the industry of the state aid proposed as of April 19.04.2022,
Table 8. Forecast indicators of the development of the Indian economy
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