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Nippon Paints India aims high! Ashish Bhatia focuses on the connection between the global growth of the automobile industry and India’s success.
The huge turnout at Nippon Paint India’s Automotive Division stand at the 20th Automechanika Dubai was a clear sign that the company is getting closer to achieving its global ambitions. With the Greater Middle East being a key focus for the company, which serves as a hub for hard-to-reach markets, connecting the Greater Middle East, Africa, Asia and key CIS countries in the automotive refinishing and collision repair space. This is a significant market opportunity for Nippon Paint Group. Its subsidiary Nippon Paint Middle East (NPME) is making this seemingly daunting task achievable. The company has taken the successful experience of the Indian automotive industry and is working to expand it to the Middle East as a major first step. This is its mantra for global growth! The company intends to expand its presence in these emerging markets with advanced automotive technology solutions to support OEM and/or ODM partners, as well as attract markets such as the European Union. Sharad Malhotra, president, automotive trim and wood coatings, Nippon Paint India, highlighted the global growth potential in the automotive paints and coatings space. “Many people are talking about a recession in the Middle East market, but we are seeing that everything is very positive, which from our point of view is a very positive sign for the paints sector in this market.”
Malhotra is a firm believer that good products themselves create market opportunities, and he explained that this is not just the case for Nippon Paint but also for its competitors, thus creating a level playing field for all. He acknowledged that in quantitative terms, the market opportunity in India is larger, with opportunities in the Middle East also considered significant. However, the momentum that is gathering momentum today can be traced back to before the COVID-19 pandemic, when Nippon Paint entered the Middle East. The foundation was laid with the support of Alpansh Sharma, General Manager, Nippon Paint Middle East (NPME), United Arab Emirates. Sharma visited the UAE in 2021 to assess the market, but was forced to stay there for six months due to the delta virus pandemic. In a candid conversation, he revealed that the entire idea is based on the technical foundation, innovation environment and experience gained by the Indian unit.
Since the region (Middle East) was largely run by expatriates like Indians, Pakistanis and Bangladeshis, it took some time for the company to adjust to the market dynamics. Sharma said that things started to improve for the company within about a quarter. “We were able to implement the right strategy locally and create a wide portfolio of projects within six months,” he shared. With the necessary confidence and clarity on its future course of action, the company decided to reach out to the vast Indian diaspora. The automobile division is counting on a strong community to execute its plans, even in markets like Africa, such as Kenya, which has a large Gujarati population. Malhotra believes that this is good for companies of Indian origin as it allows them to feel at home and instantly connect with the markets they enter. He reiterated that the company’s roots are in Japan and its head office is in India, focusing on auto repair and aftersales services.
The company introduced n-MAX SB colour solutions including 630 2K Hardener, 6300 performance 2K Clearcoat, EU 92X Toner, EUB1K Toner, 6200 2:1 Clearcoat and 620 2:1 Hardener. Also introduced were nax 2150 PU Primer and nax 2150 PU Primer Hardener. Nax Premila 2K Joint Filling Putty offers excellent filling properties and superior finishing properties. In the Nax Crystal range, the company introduced a 2K Hardener that provides increased scratch, petrol and chemical resistance, mirror clarity and long-lasting gloss in a 0.5 litre can. 9905 is also based on CyGlaz technology and is available in a 1 litre can; Premila 2K nb 100 B/C adhesive comes in a four-litre can; 9800 velocity clear 2K 2:1 is fast drying and high performance and comes in a one-litre can; 980 HP 2K Hardener comes in a half-litre can and Premila 2K Master Tint MT-06A comes in a one-litre can. Also introduced were Premila 2K 9600 Clear 2K Extra Solid 2:1 and 210 2K Hardener, which are claimed to be easy to spray and provide a high gloss finish in one-litre cans. In the N-Power series, the company introduced Plastics Primer 1K, 421 2K Clear, Fine Silver, 215 2K Clear 2:1 and 215 Hardener (model 440 is available in Ultra Gloss Clear). The nax Superio series includes 921 2K Hardener 2:1, 921 2K Clear 2:1 and SB 400 2K Solid, which provide superior gloss and clarity. Also on display were ST 100 Toner, 221 2K Clear and 221 2K Hardener. Also on display were n-Force X6 Abrasive (in 1kg bottles), X9 Fine Sanding Compound and X 51 Masking Tape. The X-45 7.5-inch Wool Polishing Pad is said to provide increased durability and superior performance in all paint systems.
Nippon Paint’s hubs are India and the UAE. Malhotra explained how both countries can achieve their goals: by serving the UAE from India or by serving the global market through the UAE. “For many customers in the Middle East, India is a supply chain partner, but in the future, once we establish a manufacturing base here, we will use the manufacturing base in the Middle East as a base to take our vision to regions like Africa, Europe or Central Asia,” he said. “We are a company and we work in that spirit.
The company’s direct responsibilities on both the supply and demand sides are currently considered equally important. In the current financial year, compared to the beginning of the year, the company is building on the good growth momentum achieved in FY23, when the economy recovered. The focus this financial year is on trying to grow organically from a higher base. “The business is looking good, last year we did well in the automotive aftermarket, around Rs 500 crore, and also in other areas like industrial coatings, including the commercial vehicle business,” he said. “We are expecting a growth of around 21% this year, so we are hopeful that in the next three years we can double the volumes in India and the Middle East,” he mentioned, explaining that the growth story in the Middle East is not just about percentages. Being an old battleground, the company prefers to measure growth as a multiple of the base year. For example, the company does not plan to quadruple its business volume achieved in fiscal 2021 in fiscal 2022, nor does it plan to roughly double its business volume in fiscal 2023, giving it confidence that it will be able to capitalize on growth opportunities.
The company has also improved its operating margins. For example, logistics costs have been controlled since the establishment of the epidemic financial year. At that time, the supply chain suffered. This is not an isolated case, as the disruption affects all companies, since the selling prices do not fully take into account these factors. The company currently describes the profit margin as “nominal” but satisfactory. In order to provide maximum value to its customers, be it in the Middle East or India, the company, which has been in the auto repair business for a long time, has always strived for transparency. With this approach, the company focuses on old hubs such as Sharjah and new hubs such as Dubai, which is known to be experiencing an increase in the number of auto repair shops and dealerships specializing in green body repair. Like India, the UAE, whose economy is focused on infrastructure growth, meets many of the criteria and offers Nippon Paint huge growth opportunities in the auto parts market and other areas. In India, the company is also investing in R&D to meet the special requirements and changing face of railway locomotives, another new opportunity that the company hopes to make progress in the next two years. To strengthen its position, the company has also acquired Thailand-based D-Act Co., Ltd., a renowned manufacturer of CV, AR and specialty industrial coatings.
During its stay in Sri Lanka, the company showcased its latest hexagonal spectrophotometer for precise colour matching in automotive refinishing, the first of its kind. This hexagonal spectrophotometer provides 100% colour accuracy. The company’s n-MAX SB colour solutions are developed based on European technology using a toner-on-toner system and a wide range of toners. It provides easy and accurate colour matching and is an ideal solution for retouching centres. Key features include over 20,000 recipes available in the database and over 12,000 unique recipes. At Automechanika, the company showcased the ‘Paint Partner’ spectrophotometer powered by artificial intelligence. It is claimed to provide more powerful, more versatile and more accurate results using a global database. The ability to use machine learning algorithms to find and correct errors is provided by the body shop management tool supported by the local library database. Dinesh Thakur, head of colour at Nippon Paint, demonstrated two machines, Artemis and Athena, using basic colours as references and walking us through a pure colour chart. The difference between the two machines is the inclusion of a camera that can read texture data, such as scratches on a surface. It can also measure the thickness of aluminium, like the high-end version, while the low-end version is limited to displaying colour charts.
Also read this https://autocomponentsindia.com/nippon-paint-launches-n-max-range-of-automotive-refinish-paints/


Post time: Mar-14-2025
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