A REPORT

ON

‘MARKET SURVEY OF ALUMINIUM ROOFING SHEETS- EVERLAST

BRAND’

BY

NIDHI KHETAWAT

ENROLMENT NO. 08BS0001963

HINDALCO INDUSTRIES LIMITED

Contract/Project/Job Number : NA

A REPORT

ON

‘A MARKET SURVEY FOR ALUMINIUM ROOFING SHEETS – EVERLAST BRAND’

By

NIDHI KHETAWAT

ENROLMENT NO.-08BS0001963

HINDALCO INDUSTRIES LIMITED

SUBMITTED TO

Mr S.K Agarwal (Company Guide)

Prof. Shantanu Mitra (Faculty Guide)

Date of Submission : 20th May 2009

UNDERTAKING

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This is hereby stated that this report is original in every sense of the term and it carries a sense of creditability and strength and that I have taken no shortcuts and remained both rigorous and scholarly.

I have tried my best to keep this work as watertight and squeaky clean as possible.

It may be further stated here that in the preparation of this report and projects undertaken some aid has been taken from a pool of professionally shared knowledge, a detailed description of which has been mentioned in the bibliography section of this report.

Dated: 20th April 2009 SignatureKolkata. Nidhi Khetawat

ACKNOWLEDGEMENT

First of all I would like to place on record my gratitude to all concerned respectable executives of Hindalco Industries Limited for giving me this

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opportunity of internship which has been a pure learning experience and which have enlightened my knowledge and skills of working in the industry.

I would also like to express my gratitude towards Icfai Business School for giving me the opportunity to undergo summer internship at Hindalco Industries Limited.

I am extremely thankful to Mr. S.K Agarwal and Mr. Subhasish Das who helped me immensely to relate theoretical concepts to real business scenario. I am greatly indebted to all of them who provided me with valuable guidance that contributed to the successful completion of this marketing research project.

I am specially thankful to my mentor Prof. Shantanu Mitra for his guidance and cooperation during my internship and in fact without his navigational assistance the task of structuring the project would have been really very difficult.

TABLE OF CONTENTS

PARTICULARS........................................................................ Pg. No.

1. UNDERTAKING....................................................................... (i)

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2. ACKNOWLEDGEMENT............................................................ (ii)

3. EXECUTIVE SUMMARY........................................................... 8-9

4. INTRODUCTION........................................................................10

5. BRIEF DESCRIPTION OF COMPANY’S ACTIVITIES...................11-15

6. ABOUT THE PRODUCT-‘EVERLAST

ALUMINIUM ROOFING SHEETS’............................................16-23

7. INDUSTRY ANALYSIS ...........................................................24-27

8. LIMITATIONS............................................................................28

9. OBJECTIVE................................................................................28

10. METHODOLOGY .....................................................................29

11. SURVEY RESULT AND ITS ANALYSIS......................................30-38

12. RECOMMENDATIONS...............................................................39

13.FUTURE OUTLOOK ................................................................40-41

13. REFERENCES..............................................................................42

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16. ANNEXURE ...........................................................................43-44

LIST OF FIGURES AND TABLES

TABLES

TABLE 1.1 COMPANY’S PRODUCTS AND ITS LOCATION (ALUMINIUM)

TABLE 1.2 COMPANY’S PRODUCTS AND ITS LOCATION (COPPER)

TABLE 2 CHARACTERISTICS AND UNIQUENESS OF EVERLAST PRODUCT

TABLE 3 MECHANICAL PROPERTIES OF EVERLAST

TABLE 4 MAJOR PLAYERS IN ALUMINIUM INDUSTRY

FIGURES

FIGURE 1.1 TOP MANAGEMENT LEVEL OF COMPANY

FIGURE 1.2 MANAGEMENT TEAM FOR EVERLAST

FIGURE 2.1 ALLOY AA8011

FIGURE 2.2 ALLOY AA3003

FIGURE 2.3 ALLOY AA3105

FIGURE 3.1 CIRCULAR CORRUGATED SHEETS

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FIGURE 3.2 TROUGHED SHEETS

FIGURE 3.3 SALES PERFORMANCE OF EVERLAST

FIGURE 4.1 ALUMINIUM CONSUMPTION IN INDIA

FIGURE 4.2 ALUMINIUM CONSUMPTION (GLOBALLY)

FIGURE 5.1 MOST PREFERRED ROOFING MATERIAL

FIGURE 5.2 AWARENESS OF THE PRODUCT EVERLAST

FIGURE 5.3 MEDIUM OF AWARENESS

FIGURE 5.4 TYPE OF ALUMINIUM ROOFING SHEET COMMONLY PREFERRED

FIGURE 5.5 REASON FOR THE PREFERENCE OF EVERLAST ROOFING

FIGURE 5.6 PREFERENCE OF COMPANY FOR THE PRODUCT

FIGURE 5.7 AVERAGE REQUIREMENT OF THE PRODUCT

FIGURE 5.8 SATISFACTION IN USING THE PRODUCT

FIGURE 5.9 SCOPE OF IMPROVEMENT IN THE PRODUCT EVERLAST

MARKET SURVEY FOR ALUMINIUM ROOFING SHEETS - BRAND: EVERLAST

Executive Summary

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This project deals with understanding and studying customer preference, availability, awareness, affordability and acceptance of Hindalco’s latest introduction of Aluminium Roofing Sheets under the brand “Everlast”.

The Objective of the projects that have been assigned as a part of the internship is:

To study the reasons for customer patronage or non acceptance of Everlast Roofing Sheets for

A. Domestic customers

B. Industrial customers

To study the present customer scenario for Everlast Roofing Sheets.

To suggest methods of improvement of marketing activities for Everlast.

To find out whether any improvement is required in the up-gradation of their product.

Each of the above mentioned objectives required a marketing surveyin order to diagnose the various parameters that are in fact essential to transform the project to a coherent body.

This Survey aims to define those essential parameters for the individual projects like the tastes and the preferences of the users for the roofing sheet, the attitude of the people etc.

Further, I wanted suggestions from the people for improving the standard of the product. All these are being crystallized in synthesizing the projects.

Survey was conducted through questionnaires and checklists at the distributors office in Kolkata. It may be mentioned that duration of the survey was from 26th March to15th of April 2009 and the sample size taken was 50.

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INTRODUCTION

Aluminium Industry in India is one of the leading industries. The growth of the aluminium industry is propelled by newer use of the metal across diversified business horizons. Taking advantage of liberalisation and globalization policies of the government of India,

Hindalco has entered the aluminium exploration, product manufacturing, and export market. However the company faces competition from other players in

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the metal segment, particularly the roofing sheet for domestic and industrial purpose.

The purpose of this project is to find out the market potential of Everlast Aluminium Roofing Sheets for both domestic and industrial market segments in urban and semi urban areas. It is valuable from the company’s point of view as the survey will give feedbacks about their product and their marketing activities which in turn will give them an opportunity to analyze any scope for improvement in their product or marketing strategies.

All these purposes required the diagnostic ability of a market survey to intervene the certain dynamics involved. The survey was conducted at the following places of Kolkata:

Heera Metals Ltd & M/s Radhika Enterprises (distributors’ office)

Here I got the opportunity to directly interact with the consumers of the aluminium roofing sheets and to know about their perceptions related to the product.

It may be mentioned that duration of the survey was from 26th March to15th of April 2009 and the sample size taken was 50.

BRIEF DESCRIPTION OF COMPANY’S ACTIVITIES

Hindalco Industries, set up in 1958, is under the Aditya Birla Group. Its businesses include the manufacture of Copper and Aluminum and in both; the company is a leader in the industry.

It enjoys nearly 60 per cent of market share and its rolled products are widely used in various segments such as packaging, transportation, construction, electrical, defence and general engineering applications. The company’s

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aluminium units across the country encompass the entire gamut of operations from bauxite mining, alumina refining, aluminium smelting to downstream rolling, extrusions, foils, alloy wheels and roofing along with captive power plants and coal mines.

VISION OF THE COMPANY

To be a premium global conglomerate with a clear focus on each business.

MISSION OF THE COMPANY

To deliver superior value to their customers, shareholders, employees and society at large.

VALUES OF THE COMPANY

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Integrity

Honesty in every action.

Commitment

On the foundation of integrity, doing whatever it takes to deliver, as promised.

Passion

Missionary zeal arising out of an emotional engagement with work.

Seamlessness

Thinking and working together across functional silos, hierarchy levels, businesses and geographies.

Speed

Responding to stakeholders with a sense of urgency.

The company's commitment to quality and service along with its extensive infrastructure has made Hindalco a prime source for best-selling brands.

TOP MANAGEMENT LEVEL OF COMPANY

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FIGURE 1.1

COMPANY’S PRODUCTS AND ITS LOCATION

ALUMINIUMTABLE 1.1

key products and brands

locations Capacities Country

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CHAIRPERSON Mr. Kumar Mangalam Birla

BOARD OF DIRECTORS

CFO

BUSINESS/UNIT HEADS

ADITYA ALUMINIUM

UTKAL ALUMINA NOVELIS ABML

Alumina Renukoot (Uttar Pradesh)Belgaum (Karnataka)Muri (Jharkhand)

700,000 tpa350,000 tpa180,000 tpa

India

Aluminium RenukootHirakud (Orissa)

375,000 tpa143,000 tpa

Extrusions RenukootAlupuram (Kerala)

33,000 tpa13,000 tpa

flat rolled products RenukootBelur (West Bengal)Taloja (Maharashtra) Mouda (Maharashtra)

100,000 tpa57,000 tpa50,000 tpa30,000 tpa

redraw rods Renukoot 75,000 tpa

foil and packing Kalwa (Maharashtra)Silvassa (Dadra and Nagar Haveli)Kollur (Andhra Pradesh)

6,000 tpa30,000 tpa

4,000 tpa

Wheels Silvassa 300,000 pcs

Indal (subsidiary of Hindalco)

foil rolling Kollur 4,000 tpa

COPPER

TABLE 1.2

key products and brands

Locations Capacities Country

copper cathodes Dahej (Gujarat) 500,000 tpa India

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continuous cast copper rods

120,000 tpa

sulphuric acid 1,470,000 tpa

phosphoric acid 180,000 tpa

gold (Birla Gold) 26 mt

silver (Birla Silver) 200 mt

DAP and complexes (Birla Balwan)

400,000 tpa

Hindalco Industries Ltd. (Aditya Birla Minerals Limited)

copper cathodes Nifty mines 25,000 tpa Australia

copper in concentrate Nifty mines 60,000 tpa Australia

power Nifty mines 28 mw Australia

copper concentrate Mt. Gordon mines 40,000 tpa Australia

ABOUT THE PRODUCT-EVERLAST ALUMINIUM ROOFING SHEETS

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Everlast, a Hindalco brand for aluminium roofing sheets, offers ideal and economical solutions for all roofing and cladding needs. Colour-coated and tiled roofing profiles are also offered by Hindalco.

Everlast sheets can withstand the hardest of climatic conditions and does not require much maintenance. Everlast roofing solutions are for those w ho need security and long-lasting protection. Everlast roofing sheets are known for its exceptional quality and reliability

.Everlast was launched in 2002 after much research. The purpose of launching a brand in this commodity business was to add value.

Everlast roofing solutions are for those who need security and long-lasting protection. It is known for its exceptional quality and reliability.

MANAGEMENT TEAM FOR EVERLAST

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FIGURE 1.2

CHARACTERISTICS AND UNIQUENESS OF THE PRODUCT

TABLE 2

CHARACTERS AND FEATURES

CORRESPONDING ADVANTAGES

NON - Corrosive No maintenance cost as of painting etc

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PRESIDENTCRAIQ COVELL

CHIEF FINANCIAL INFORMATIONCARL SMITH

PURCHASING DIRECTOR

ED ERB

DIRECTOR OF SALES

FRANK MIKLOS

GENERAL MANAGERMID ATLANTIC OPERATIONS

CHARLIE DE BELLO

GENERAL MANAGERNORTH EAST OPERATIONSLEE EASTMAN

GENERAL MANAGERMID WEST

OPERATIONSTIM REDDINGTON

HUMAN RESOURCE MANAGER

TONY LOMBARDO

MARKETING MANAGER

BONNIE BECK

CHIEF INFORMATION OFFICERSAL FRANCO

UNBREAKABLE Frequent replacement is not required.

LIGHT IN WEIGHT Economical in structural cost, transportation and easier to handle and to carry on hills and rooftops.

PERMANENT GLITTERING

Looks nice and attractive.No cost of cleaning.

AVAILABLE IN HIGHER LENGHTS

Lesser overlapping results in more area coverage and economy in hardware.

FREE FROM HEALTH HAZARDS

Unlike asbestos which is on the verge of ban as recently declared in USA as a cause of cancer.

HIGH RESALE VALUE Continuous appreciation in value.

HIGHER INSULATION Comparable to G.C. & Asbestos Sheets

FREE PURCHASE SALE No formalities as Aluminium is outside the preview of Essential Commodities Act.

PRESTIGIOUS INSTALLATIONS

It has also been widely installed in large organisations as i) TISCO ii)Indra Prasth Stadium .

MECHANICAL PROPERTIES

TABLE 3

Alloy Temper UTS (MPa) Yield Stress(.2% proof-stress)

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Min MaxAA3003 H18 200 240 180AA3105 H18 230 260 160AA8011 H18 175 190 140

CHEMICAL COMPOSITION (%)

ALLOY AA8011

FIGURE 2.1

ALLOY AA3003

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ALLOY AA8011

Al (99.0)%

Cu (.20)%

Mg (.10)%

Si (.6-.95)%Fe

(.6-.95)%

Mn (.10)%

Zn (.20)%

Ti (.20)%

Cr (.20)%

FIGURE 2.2

ALLOY AA3105

FIGURE 2.3

TECHNICAL PROPERTIES

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ALLOY AA3003

Al Rem

Cu (.10)%

Mg (.10)%

Si (.6)%Fe (.7)%

Mn (.8-1.2)%

Zn (.20)%

Ti (.20)%

ALLOY AA3105

Al Rem%

Cu (.30)%

Mg (.2-0.8)%

Si (.6)%Fe (.7)%

Mn (.2-0.8)%

Zn (.40)%

Ti (.10)%

Cr (.20)%

PERMISSIBLE LOADING (kg/sq. m)

CIRCULAR CORRUGATED SHEET

FIGURE 3.1

TROUGHED SHEETS

FIGURE 3.2

SALES PERFORMANCE OF EVERLAST ROOFING SHEETS

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FY 03 FY 04 FY 05 FY 06 FY 07 FY 080

100020003000400050006000700080009000

SALES PERFORMANCE OF EVERLAST

RetailInstitutionalTotal

FINANCIAL YEAR

SALE

S IN

KG

TO

NN

ES

FIGURE 3.3

Accumulated overall Data for Everlast

Segment FY 03 FY 04 FY 05 FY 06 FY 07 FY 08Retail 647 1432 3994 4845 5132 5733Institutional 795 1265 1811 1759 1721 2217Total 1442 2697 5805 6604 6853 7950

MARKETING STRATEGY ADOPTED FOR THE PROMOTION OF EVERLAST

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Everlast is the brand of aluminium roofing sheets from Aditya Birla Group. Aluminium is a commodity driven basically by the price. Everlast can be called the first branded roofing sheet.

Everlast had two pronged approach towards building the brand.

First task was to establish the brand name by increasing the awareness. This was done by extensive campaign through print media and hoardings. The brand also was positioning itself as a durable product.

Second task was to increase the popularity of aluminium roofing sheets. Now Everlast is running a series of campaigns highlighting the various benefits of having an Everlast roof. The brand is now targeting the urban households.

Everlast rightfully is reaping the benefits of the first mover advantage in this commodity business. Through heavy promotion, the brand has already established it presence in the market.

INDUSTRY ANALYSIS

Aluminium Industry in India is one of the leading industries. It is an oligopolistic industry. It is developing fast and the advancement in its technologies is

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boosting the growth even faster. The utilization of both international and domestic resources was significant in the rapid development of the Aluminium Industry. The Indian aluminium industry has a bright future as it can become one of the largest players in the global Aluminium market as in India the consumption is fairly low, therefore the industry may use the surplus production to cater the international need for Aluminium which is used all over the world for several applications such as aircraft manufacturing, automobile manufacturing, utensils etc.

MAJOR PLAYERS IN INDIAN ALUMINIUM INDUSTRY

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The Indian aluminium industry is highly concentrated with only four primary plants in the country from three business groups.

TABLE 4

Business Groups Players

The Aditya Birla Group Hindalco Industries Limited(Hindalco)

Sterlite Industries Bharat Aluminium Company Limited (Balco)Madras Aluminium Company Limited(Malco)

Public Sector Undertakings National Aluminium Company Limited

USAGE PATTERN FOR ALUMINIUM IN INDIA

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Aluminium is used in various sectors, such as, transportation, packaging, building / construction and electricity. However, the usage pattern differs significantly for India and rest of the world.

Globally, the automotive, packaging and the construction sectors are the major end users of aluminium, while in India the power sector consumes about 31 per cent.

ALUMINIUM CONSUMPTION IN INDIA

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Electrical31%

Automotive18%

Building And Construction13%

Packaging11%

Others27%

Aluminium Consumption in India

FIGURE 4.1

ALUMINIUM CONSUMPTION AT GLOBAL LEVEL

26%

20%20%

9%

25%

Aluminium Consumption -Global

AutomotivePackagingBuilding and ConstructionElectricalsOthers

FIGURE 4.2

LIMITATIONS

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The sources of data collection are limited in this research.

The primary data is collected in limited area.

Time limitation was there.

The respondent may be biased.

OBJECTIVE

To study the reasons for customer patronage or non acceptance of Everlast Roofing Sheets for

A. Domestic customers

B. Industrial customers

To study the present customer scenario for Everlast Roofing Sheets.

To suggest methods of improvement of marketing activities for Everlast.

METHODOLOGY

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The purpose of the market survey was to analyze the different parameters and dynamics involved with the project which serve as a foundation for the project to be structured upon. Therefore it was very important to obtain the right information from the right source and efforts were taken to record all the data in a methodical way which can be compatible according to the required method of analysis.

Accordingly questionnaire was prepared in line with the project and each question serves a particular purpose. [The questionnaire is attached in the appendices section of the report].The source of data is the primary data which was collected and accordingly interpreted from the cross section of the different sources of information. A sample size of minimum 50 was decided to target upon.

While doing the survey I interacted directly with the prospective clients at distributors’ office through questionnaire and checklist formats.

Analysis of company’s product demand with its competitors through

A. Primary data- Distributors.

B. Secondary data- Through online, various official websites of the companies, Journals and magazines.

SURVEY RESULTS AND ITS ANALYSIS

MOST PREFERED ROOFING MATERIAL

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15%5%

2%

60%

18%

Most prefered roofing material

GC (15%)Aluminium (5%)plastic (2%)Cement (60%)Others (18%)

FIGURE 5.1

Objective: Here the objective is to find out the preference of the people for their roofing and thus the scope for the product in the market.

Result: As is shown in the fig. the major Market share (60%) is enjoyed by Cement followed by GC (15%), Aluminium (5%) and Plastic (2%). These are the major preferences and rest of the material constitute around 18%.

AWARENESS OF THE PRODUCT ‘EVERLAST’

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Aware Not Aware0%

10%

20%

30%

40%

50%

60%

70%

80%

25%

75%

Awareness For Everlast'AA'

Awareness for 'EVERLAST '

FIGURE 5.2

Objective: The objective here is to find the awareness for the product ‘Everlast Aluminium Roofing Sheets’.

Result: The survey revealed that the product is yet to be discovered by majority. People are unaware of the product. Only 25% of the sample size interviewed had ever heard about it.

MEDIUM OF AWARENESS

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10%15%

30%

35%

10%

Medium of awareness'

NewspaperTV CommercialsWord of mouthTrade DisplaysOthers

FIGURE 5.3

Objective: The objective here is to find out the medium of awareness for the product ‘Everlast Aluminium Roofing Sheets’.

Result: The survey revealed that around 35% of the people interviewed became aware of the product by trade displays. The next source was word of mouth i.e. (30%). Another 15% became aware through TV Commercials, 10% through Newspapers and the rest 10% by other mediums.

TYPE OF ALUMINIUM ROOFING SHEET COMMONLY PREFERRED

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circular

trapezoidal

tiled

0 10 20 30 40 50 60

TYPE OF ALUMINIUM SHEET COMMONLY PREFERRED

PERCENTAGE

TYPE

OF

ALUM

INIU

M S

HEET

S

FIGURE 5.4

Objective: The objective here is to find out the demand for the type of Everlast aluminium roofing sheets.

Result: The survey revealed that nearly 60% of the people used circular corrugated, around 35% of the consumer uses trapezoidal and the remaining 5% of the people uses tiled roofing sheets.

REASON FOR THE PREFERENCE OF EVERLAST ROOFING

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30%

25%

20%

20%

2%3%

Reason for preference of Everlast

LONG LASTINGLIGHT WEIGHTEDHIGHER RESALE VALUEHEAT RESISTANCEVERSATILITYOTHERS

FIGURE 5.5

Objective: The main objective of this study is to find out the reasons behind the preference of the Everlast Aluminium Roofing Sheets.

Result: The study revealed that 30% of the people use Everlast because of its long lasting quality. 25% of the consumers prefer for the light weight of the product. Another 20% of the people use the product for its heat resistance quality and 20% for its higher resale value. Remaining 2% prefer the Everlast for its versatility and the rest 3% for its other qualities.

PREFERENCE OF COMPANY FOR THE PRODUCT

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65%

30%

5%

CONSUMER PREFERENCE FOR COMPANY

HINDALCOBALCOMANAKSIA

FIGURE 5.6

Objective: The main objective here is to find the preference of the users for the company for the supply of aluminium roofing sheets.

Result: The survey revealed that around 65% of the users buy roofing aluminium sheets from Hindalco, 30% of the consumers prefer Balco products and the rest 5% of the users buy aluminium roofing from Manaksia.

AVERAGE REQUIREMENT OF THE PRODUCT

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below 50 tons

50-100 tons

100-250 tons

250-500 tons

above 500 tons

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

Average requirement of the product

Average requirement of the product

consumption in tonnes

perc

enta

ge

FIGURE 5.7

Objective: The main objective here is to find out the average consumption pattern of the users.

Result: The study revealed that 10% of the people usually require below 50 tons, 30% between 50-100 tons, 45% of the users usually require between 100-250 tons, 5% between 250-500 tons and the rest 10% of the consumers usually require above 500 tons.

SATISFACTION IN USING THE PRODUCT

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55%

45%

Satisfaction in using the product

SATISFIEDUNSATISFIED

FIGURE 5.8

Objective: The main objective here is to find the level of consumer satisfaction for the Everlast aluminium roofing sheets.

Result: The study revealed that only around 55% of the users of the product were satisfied with the Everlast product where as the remaining 45% felt that there is further scope for improvement.

SCOPE OF IMPROVEMENT IN THE PRODUCT ‘EVERLAST’

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FIGURE 5.9

Objective: The main objective here is to find the area where further improvement can be made so that the satisfaction of the consumer is maximum.

Result: The study revealed that 60% of the people were dissatisfied with the price of the Everlast. They felt that the price was too high and should be lowered to increase the overall demand for the product. 30% of the users felt that the availability of the product was not up to the mark. Around 7% felt that more varieties should be introduced in this area and the rest 3% wanted further improvement in the quality.

RECOMMENDATIONS

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PRICE (60%)

QUALITY (3%)

AVAILIBILITY (30%) VARIETY (7%)

Everlast is an upcoming brand of Hindalco for roofing. Though it was launched in the year 2002, it is yet to reach the masses. The Indian roofing market has a small 5% share inclusive of all metals, hence there is a huge potential for this product in the market.

The promotional strategies adopted by the company for Everlast has helped in spreading good awareness about the existence and availability of everlast aluminium roofing sheets. Inspite of all the efforts the product is yet to be known by large and requires further promotion.

Everlast faces major competition from GC Galvalnized corrugated and galvalum sheets. Difference between plain aluminium and coloured galvalum now stands at around 20 %. Thus for the product to succeed in the market it is necessary that the price of the product should be reduced.

The company has no control over the cost of aluminium but steps should be taken to curtail the making cost of the product. . With the price differential between aluminium and GC sheets coming down we are expecting more people to shift to aluminium and thereby increase volume for this product.

Company may implement a field expansion to leverage on existing infrastructure and better realise synergies. It may concentrate on value added products to ensure higher realisation and optimum utilisation of brand and distribution network in future. Further improvements in consumption norms of the product as well as productivity enhancement should be focused in future. These measures will enable Hindalco to improve cost efficiency, strengthen market position and enhance margins in future.

FUTURE OUTLOOK

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The outlook for the Metals sector in India is bright. Sustained growth is expected across all key segments, aided by several factors such as, growing domestic demand, investment in capacity addition, increasing supply deficit in other countries and favorable government regulations.

• Government’s initiatives such as power and infrastructure development, reduction in import duties and facilitation of FDI, along with overall economic growth will provide a boost for the Indian metal industry

• With economy projected to grow at 8 per cent in the coming years, there is expected to be a surge in per capita metal consumption.

• For aluminium, exports will be a major demand source The attractive prospects in the Indian metals sector have attracted multinationals like BHP Billiton and Rio Tinto to enter India for prospecting. At the same time successful Indian players are looking at acquiring mining rights abroad for example, the AV Birla group has acquired mining rights in two copper mines in Australia. The metal sector in India, is clearly an attractive sector for investment and offers significant growth potential, both in the domestic as well as exports markets. Metal companies must assess their core competency and realign their strategy to cope with the internal and global competition.

The outlook for domestic aluminium sector is positive. It is predicated on the likely strong growth in the end-use sectors, notably in the construction, transportation, consumer durables and packaging sectors. The positive outlook for the Indian economy, expected GDP growth of 6-7% per annum and accelerating level of industrial activity should give boost to the construction sector. The fiscal incentives for individual housing in recent budgets, availability of cheaper finance, rising per capita income and increasing level of consumer confidence will drive housing demand in future. Together with the renewed focus on infrastructure development, it will reinforce the outlook for the construction sector. Gaining from it and the increasing preference for use of aluminium in curtain walling, partitions and door/window panelling, aluminium consumption in the construction sector is slated to grow in double digits over the next two years.

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The expected strong growth in the transportation sector will be a key driver of aluminium demand going forward. The share of transportation in aggregate consumption is expected to rise significantly in the future.

This will be driven by improving volumes of commercial vehicles on the back of a pick-up in industrial activity, introduction of new vehicles by international car manufacturers and a shift towards aluminium use in select applications by domestic car manufacturers.

Additionally, higher disposable incomes and improving level of consumer confidence coupled with rising aspiration levels and changing consumer buying pattern is likely to boost demand for consumer durables in future. The prospects of an increased consumption in the electrical sector are improving with the entry of the private sector in the distribution sector and restructuring of the State Electricity Boards by the Government. The need for strengthening distribution network in the power sector also augurs well for aluminium consumption in future.

Thus I am quite optimistic about the future of the aluminium industry in India. Prospects of the industry will improve further with the acceptance of aluminium in new applications, which is gaining momentum already. Domestic aluminium prices are likely to follow the LME trends, outlook for which remains firm and positive. The competition is likely to intensify with local producers expanding capacities, global manufacturers eyeing for an entry and the possible reduction in import tariff as part of WTO commitments. The domestic producers will have to keep a close watch on their cost structure for superior margins and earnings in future.

REFERENCES

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1. BIBLIOGRAPHY

http://72.14.235.132/search?q=cache:GFN27kvQtdMJ:ibef.org/download/Metals_210708.pdf+Aluminium+commodity+report,+infoline+,+august+2007&cd=1&hl=en&ct=clnk&gl=in

http://www.hindalco.com/products/rolled_products.htm http://www.hinduonnet.com/fline/fl2313/stories/

20060714004212100.htm http://www.rigidal.com/en/products/our-products/composite-panel/

thermocore-1.html

2. Hindalco Handbook Published By Hindalco.

3. Company document

Al Track- Company’s magazine Catalogue.

4. Journals

India today Business world

ANNEXURES

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QUESTIONNAIRE

1. Title/Name of the customer/Firm/Organization :

2. Permanent address:

City: Pin Code:

3. Which material are you using as roofing sheets?

Aluminium GC/AC PVC/Plastic Cement

4. Have you ever heard of Everlast Aluminium Roofing Sheets?

Yes No

5. How did you come to know about the product?

Newspapers TV Commercials Trade displays

Word of mouth others

6. Which type of Everlast aluminium roofing sheets have you used before?

Circular corrugated Trapezoidal Tiled profile

7. Why do you prefer Everlast Aluminium Roofing Sheets?

Long Lasting Quality Versatility Zero-maintenance

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Heat Resistance Light weighted High Resale Value

8. From where do you usually purchase aluminium roofing sheets?

Hindalco Balco Manaksia limited

9. What is your average requirement?

Below 50 tons 50 – 100 tons 100-250 ton s 250-500 tons above 500 tons 10. Are you satisfied using aluminium roofing sheets?

Yes No

11. If No, where do you feel improvement can be made?

Quality Price Availability Variety

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