Plastic pipes industry navigates challenges in FY25, Eyes Steady Growth: Report

New -delhi [India]September 28 (Ani): The Indian Plastics Pipes industries have weathered various conditions in FY25, with a subdued spending on infrastructure, liquidity challenges and volatile PVC prices, according to a recent JM Financial Report. The report emphasizes that the sector, which is traditionally fragmented and agriculture focused, has gradually shifted to a more organized ecosystem that allows for water supply, sanitation, plumbing and industrial applications. Despite the challenges in the FY25, the industry expects channel support to relocate and stabilize PVC prices, which reached 79 per kg in September 2025. PVC prices, a critical passage cost for pipe manufacturers, have seen significant fluctuations over the past few years. “On the World Front, sluggish construction activity in China and developed markets has suppressed demand, while an offer of major exporters (China, South Korea, Taiwan) led to aggressive dumping at lower prices. Historically, PVC prices grew by a 2 percent CAG CAgr over 25 years, but the segment showed a ~ 4 percent CAgr-Agreb. INR 7/kg to reach ~ INR 79/kg in SEP’25, although the levels remain far below FY22 peaks, “the report states. When you look forward, structural demand managers remain strong. Government initiatives such as the Jal Jeevan mission, SWARD BHARAT Abhiyan and housing for all, together with rising agricultural and replacement demand, are likely to accelerate the acceptance of plastic pipe systems. According to the report, the plastic pipe market of India is about 600-650 billion inR, which predicts a 10-12 percent CAGR growth rate over FY25-30. “The stabilization of PVC prices must restore the distribution confidence, reduce inventory-related challenges and support the repair of the margin for organized players,” the JM Financial Report states. The potential implementation of the Bureau of Indian Standards (BIS) quality norms for PVC imports, probably by December 2025, is expected to further protect domestic players from low quality imports and increase the price. (Ani)