Our Paint Venture Mirrors India’s Zest For Innovation: Kumar Mangalam Birla
India today is witnessing an unprecedented economic boom. In my annual reflections note this year, I couldn't help but borrow from a viral meme to describe the state of the Indian economy – "Just looking like a wow." India's rise has captivated the world's imagination. Few countries today have a multi-decadal runway of high growth. Our economy is well poised to hit the $10-trillion mark over the next eight to 10 years. And the scale of our ambition is now being matched by the scope of the infrastructure evolution, which is starting to unfold. I would argue that this is not just infrastructure development but nation-building.
The Aditya Birla Group's diverse businesses are set to play a pivotal role at the heart of this monumental nation-building endeavour. Our cement fortifies the expanding highways; our aluminium and lightweight railways enhance efficiency, and our copper powers the surge of electric vehicles. Our fashion brands give expression to a new and competent India, and our financial services give wings to the aspiration of consumers feeling the economy's backbone. And now, the launch of our paints business embodies the spirit of an aspirational India.
This India teeming with dynamism, audacity and penchant for disruption finds a reflection in our paints business. This paint venture mirrors India's zest for innovation and its refusal to settle for the status quo.
Why Paints?
The answer lies in the bedrock of our booming infrastructure. The construction segment alone is poised to command 9 per cent of GDP, translating to about $900 billion in just about a decade. Our deep insight into the building materials ecosystem, honed over the years, offers us a unique vantage point. Our journey in the paint industry is, in many ways, a strategic extension.
India's per capita paint consumption stands at a mere 3.5 kg; this contrasts starkly with the global average of about 10 kg and dwarfs against the 25 kg consumption per capita in the developed economies. For a country like ours at the forefront of economic acceleration, India ranks at the bottom 10 per cent of paint consumption. This presents a galactic opportunity with rising per capita income, a young population, a booming real estate sector and shorter repainting cycles.
The path forward demands a commitment to long-term investment and a vision to redefine the industry with consumer-centric technologies and practices.
A Scale Startup
Over the last decade, we've all witnessed the dramatic transformation of the Indian economy. The transformation has spurred the incumbent players to improve the quality of their services significantly and, in turn, upgrade the lives of every Indian. It is with this spirit of transformative impact that the Aditya Birla Group stepped into the paints sector.
Birla Opus is anchored in the values and purpose of the Aditya Birla Group and is fuelled by the energy of a startup. It should be seen as a scale startup incubated by the Aditya Birla Group. It uniquely combines a startup's dynamism, energy and frugality with the muscle, reliability and brand strength of a storied and dynamic conglomerate.
Excerpts from the address at the launch of Birla Opus
