As per reports, 85 per cent of the High-Pressure Decorative Laminates producers in India have switched on their manufacturing establishment by 30th June. Major units have begun their production in June, mainly after the first week of June. But the HPL sector has reportedly struggled so far because of lesser demand from major cities such as Delhi-NCR, Mumbai, Indore, Ahmedabad, Surat, Kolkata, Pune, Chennai and Hyderabad. The slower demand in these big cities has badly affected 1 mm laminates segment, and as per the market report, 1 mm demand was restricted too nearly 20% in June.
Market reports that 1 mm demand in May and June month, was mainly for running projects and sites, and there is no fresh demand coming in. Retailers inform that many sites are still waiting for the clearance from Housing Society Bodies to allow workers to enter the premises.
Export-oriented laminate manufacturing houses were more comfortable in May and June because they have adequate pending and new orders from overseas market. As per reports, export demand has reached 60 per cent as compared to pre-COVID time.
0.8 mm and liner grade laminates are helping the laminate industry to survive in this tough time. Due to their good demand from the small cities and rural market, these segments are able to sell whatever they can produce. But the overall industry is unable to utilize capacity of more than 40 % due of labour shortage, report says. The increase in the production of liner laminates has brought a marginal price correction in this segment.