Market Trends of India Alkaline Battery Industry
This section covers the major market trends shaping the India Alkaline Battery Market according to our research experts:
Primary Segment is Expected to Dominate the Market
- The alkaline batteries use alkaline electrolytes, with zinc and manganese oxide with electrodes. The alkaline electrolyte used in these batteries includes potassium or sodium hydroxide, in which the electrodes are immersed.
- The primary alkaline battery also is known as disposable consumer batteries, owing to the numerous advantages of primary batteries, such as low cost, wide applications across consumer electronics such as flashlights, calculators, clocks, and smoke alarms, the demand for primary alkaline batteries remains high, worldwide.
- In 2020, the Indian military expenditure increases to 2.8% of the GDP, an increase of around 0.3% from the previous year. Moreover, the election commission of India has allocated INR 1005 crore for procurement of ballot units, control units, and voter-verifiable paper audit trail units (VVPATS), and ancillary expenditure on EVMs, and destruction of obsolete voting machines.
- Moreover, India has added electronic gears in their armies, such as torch lights, night visions, etc. These equipments are likely to use primary alkaline batteries for their proper functioning, thud driving the market for primary alkaline batteries.
- The global manufacturers of alkaline batteries are focusing on expanding their business in countries like India, which include the launch of new, low-cost products in the country. These products are likely to drive the primary alkaline battery segment.
- Hence, owing to the above points, the primary segment is likely going to be the largest in the alkaline battery market during the forecast period.
Understand The Key Trends Shaping This Market
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Increasing per Capita Income is Likely to Drive the Market
- Demand for consumer electronics is increasing on the back of rising income. This trend is expected to continue even as other factors like rising rural incomes, increasing urbanization, a growing middle class, and changing lifestyles.
- Significant growth in income and easy financing schemes have led to shortened product replacement cycles.
- In October 2020, Samsung's consumer electronics business in India increased by more than 30%, due to increased demand from smaller cities, which are racing ahead of metros.
- As per the International Monetary Fund, the Per capita GDP of India is expected to reach USD 3,114 in 2026 from USD 1,964 in 2020.
- Growth in e-commerce platforms is a key factor to reach out as a more convenient channel for buyers. Hence such a scenario, along with an increase in income is expected to increase sales of consumer electronics, leading to growth in demand for alkaline batteries in India.
