The rise in beautifying residential and commercial buildings on account of rapid urbanization upheld with technological innovations had surged the manufacturing of hardware fittings. As per Allied Market Research report, the global hardware industry generated USD 15.96 billion in 2018 and is expected to reach USD 23.27 billion by 2026, registering a CAGR of 6.8 per cent from 2019 to 2026. Although a rise in raw material prices and fluctuations in foreign currencies hinder market growth, affordable housing structures have created new opportunities in the market. The residential segment holds the highest market share in the global hardware market, while the industrial segment is expected to register the fastest CAGR of 5.2 per cent from 2019 to 2026.
India’s architectural hardware industry has experienced remarkable growth in recent years, propelled by rapid urbanization, infrastructure development and a burgeoning construction sector. PLY REPORTER explores the current state of the Indian architectural hardware market by shedding light on its growth trajectory, emerging trends and the vast opportunities it presents.
Market size and growth
According to a report by Market Research Future, the Indian architectural hardware market had been valued at USD 2.4 billion in 2020 and is projected to reach USD 3.8 billion by 2027, growing at a CAGR of 6.8 per cent during the forecast period. This robust growth is driven by factors such as increased urbanization, rising disposable incomes and the demand for aesthetically pleasing and functional architectural hardware solutions. Elaborating further, Sanjay Agarwal, JR Enterprises, Raipur adds, “Currently, the hardware market is experiencing significant growth. In particular, the month of February has shown promising sales, indicating a positive trend. This can be attributed to the increasing demand for renovation projects and customers’ growing knowledge about interior design. Notably, this surge in demand extends beyond just the hardware sector and encompasses the overall construction market.”
Additionally, Suresh Tanwani, MM Plywood and Hardware, Bhopal says, “The increasing number of construction projects and ongoing renovations are expected to drive the demand for hardware products in the country.”Major players in the market such as Godrej Locking Solutions & Systems, Hafele and Hettich have adopted key strategies such as product development and collaboration to strengthen their market outreach and sustain the stiff competition in the market. The demand has, however, dropped considerably in recent months. According to Shubham Gupta, Sunrise Hardware, Raipur, “Non-branded items are preferred over branded ones, although Hettich, Godrej and Hafele enjoy significant popularity among branded options.”
Architectural hardware mainly includes pull handles, lever handles, door stoppers, door guards, door viewers, flush bolts, door signage, door seals, door controllers, panic exit devices, window friction hinges, bolt systems, patch fittings, point fittings, glass door locks, shower fittings and accessories. Door hardware including handles, locks, hinges, and closers, accounts for the largest market share due to its high demand in the residential and commercial sectors.
The Indian architectural hardware market is highly competitive, with both domestic and international players contesting for market share. The current state of the hardware and furniture markets across various cities in India presents a diverse picture. MP Singh, Gaurav Ply and Hardware, Bhopal reports that the market is stable, with sales hovering around average levels. However, there is potential for a significant boost in the current financial year, with channels and door fittings being the most popular products. “Previously, the hardware market relied on trade credit, but now it has shifted towards cash and carry transactions. To adapt to this change, it is advisable to streamline designs and prioritize swift transactions,” he adds. Suresh Tanwani, MM Plywood and Hardware, Bhopal highlights that the market is performing well, with a preference for branded products.
Moving to Ahmedabad, Gaurang Patel, President of the Gujarat Hardware Association, reports that the current sales performance is average, with a 10-15 per cent growth anticipated in the coming years. Haresh Vasoya, Angel Hardware, Rajkot expects significant growth in the market over the next six months due to upcoming product launches. However, Naresh Suthar, Space Plus, Surat mentions a decline in sales but sees potential for further growth, particularly with the influx of people migrating from Bombay and a preference for branded products.
In Jaipur, Alok Jindal, Dezin Today reports a thriving hardware market with anticipated growth and high demand for channels, especially Hettich. “It is worth noting that March consistently stands out as a better month for us, especially when we introduce company schemes and promotions, along with the festive season of Diwali,” he confirms. Rajesh Patel, Vinas Hardware, Ahmedabad notes a well-performing market with a steady rise expected, and screw fittings being the top-selling products. Mohit Kashyap, Kashyap Furniture, Jaipur mentions a slight downturn in the furniture market but expects improvement in the upcoming months.
Additionally, Gurneet, Interior Studio notifies a significant decline in the furniture market. He explains, “Despite an increase in construction activities, there is a shortage of projects that are ready for delivery. Once the delivery rate improves, the furniture market is expected to witness growth.” Ashwani Narula, Kraftsmen, New Delhi emphasizes the thriving furniture market, expecting a growth rate of 15-20 per cent by promoting domestic manufacturing. Ayush Narang, Lifestyle Furnishers, New Delhi mentions a slowdown in the furniture market but an improvement in sales during April, with sofas and beds being the most in-demand products.
Jitu Gala, Hollywood Furniture Gallery, Bhiwandi informs a downturn in the furniture market with minimal growth observed. He implies, “Looking ahead, it is expected that the market will remain stable without significant growth in the coming months.” On similar lines, SH Bari, Samrat Furniture, Lucknow reports a significant decline in the furniture market with little indication of growth in the upcoming months.
On the contrary Sachin Chheda, Luxe Square, Thane highlights a well-performing furniture market specializing in luxury and imported pieces, with a 20 per cent growth anticipated. Malik, In Home The Furniture Arts, Pune also mentions a moderate state of the furniture market with an optimistic outlook for growth. Jayesh Mehta, Noble Furniture, Rajkot notes a good shape of the furniture market, particularly following the Navaratri season. Shubham, Manager, Aavaran, Vadodara, reports a thriving furnishing market, with sofas driving the demand for fabric sales. Hasit Patel, Better Living Home Furniture, Surat mentions a well-performing furniture market with good sales in March.
Companies have started focusing on product innovation, strategic collaborations and expansion of distribution networks to strengthen their foothold in the market. Additionally, they are investing in marketing and promotional activities to increase awareness among architects, designers and end-users about the importance of high-quality architectural hardware in building design and functionality. Singh anticipates, “The market could experience a significant boost of around 20-30 per cent in the current financial year.”
As India’s construction and infrastructure sectors continue to thrive, the Indian architectural hardware market presents immense growth opportunities. Architects, designers and manufacturers are collaborating to shape the future of this dynamic industry, ensuring that architectural hardware plays a pivotal role in creating functional, safe and visually appealing spaces across the country. Thus, on a positive note, Gaurang Patel adds, “While the world is experiencing a recession, there is a possibility of a decline in customers’ purchasing power. However, it is unlikely that customers will completely stop making purchases. At present, the market is stable, neither showing significant growth nor decline. Nonetheless, it is expected that there will be an increase in demand during Diwali.”