Name: Aegidius Savio Mondol
Unitedworld School of Business, Kolkata
Batch – 2012-14
Specialisation : Marketing
Enrollment no. : 0104010003
A presentation on the Plasterboard
market in India with special reference
Saint Gobain Gyproc India
The objectives of my study are:
To do an entire market survey of plaster boards with special reference to
Saint-Gobain Gyproc and see how the company works and operates in the
To have a specific idea about the major players in the market, their
backgrounds and their marketing strategies.
To do an in house research of the Saint -Gobain Gyproc and get to know
about the products , systems and substitute products it offers to the market
To find out what types of consumers it targets along with its acceptance in
To gather in-depth knowledge of the various product lines offered – their
benefits ,features, disadvantages and other substitutes .
To study the recent trends in the market with respect to plaster boards
Methodology of research
The sources of data which aided me in this presentation were mainly
i) Primary Sources and ii) Secondary sources
Primary Research Sources
Secondary Research Sources
Sample size: 15
Sample selection criteria: Random selection
SAINT GOBAIN GYPROC ?
What is Gypsum?
Gypsum is one of the more common minerals in sedimentary environments.
It is a major rock forming mineral that produces massive beds, usually
from precipitation out of highly saline waters. Since it forms easily from
saline water, gypsum can have many inclusions of other minerals and even
trapped bubbles of air and water.
Gypsum has several variety names that are widely used in the mineral
"Selenite" is the colorless and transparent variety that shows a pearl like
luster and has been described as having a moon like glow. The word
selenite comes from the Greek for Moon and means moon rock.
Another variety is a compact fiberous aggregate called "satin spar" . This
variety has a very satin like look that gives a play of light up and down the
A fine grained massive material is called "alabaster" and is an ornamental
stone used in fine carvings for centuries, even eons.
Gypsum is made from:
Natural gypsum: sedimentary rock extracted from mines or
Synthetic gypsum: produced from by-products of energy generation
or industrial waste.
Making gypsum from natural gypsum involves crushing and grinding
the gypsum mineral, then firing it at 150°C. Additives can be mixed
with the gypsum in very small quantities.
Starch improves the adhesion between the gypsum and the cardboard
in plasterboard production, retarding agents slow the setting time of
The Gypsum Market
The gypsum market is very local and highly dependent
on the prevailing construction methods in each
The demand for plasterboards is closely linked to the
construction methods in each country.
Demand is high in the United States, Japan and
Australia. United-States represent almost 50% of the
According to the study, demand for gypsum in
India is expected to take until 2017 to recover to the
peak level . On the other hand, Chinese markets
have continued to grow and can be expected to
grow more rapidly than the 5% growth in 2009,
modest by Chinese standards. It is estimated that
total gypsum consumption in India will grow by
about 6% in 2015.
Markets for plasterboard are considerably
down from their peaks since 2009 because of the
financial crisis and particularly its effect on the
housing market in the India and elsewhere
The gypsum market is growing at a CAGR of 9.9% with the
consumption at 1.2 billion tonnes and it is forecasted to reach
approximately $2.4 billion by 2018, and $3.8 billion by 2023, according to
a major new report by Smithers Apex.
Worldwide gypsum consumption by region from
2008 and forecasted till 2023 (million tonnes)
Source: Smithers Apex
A pie chart showing the distribution of the world wide gypsum production (total
market size of 1.2 billion tonnes as of 2013) country wise. Source: Smithers Apex
Gypsum in India
The in site reserves of gypsum are estimated at 285 million
The table below shows that there have been wide temporal
variations in the production of gypsum in India. The
production increased rapidly from 207 thousand tonnes in
1951 to 2,210 thousand tonnes in 1996- 97, thereby recording
about 11 times increase in 46 years. The production reached an
all time high of 3,247 thousand tonnes in 1999-2010.
Rajasthan is by far the largest producer of gypsum in India.
This state produced 2,815 thousand tonnes out of the total
production of 2,842 thousand tonnes in 2002-03.
Year 1951 1971 1990-95 1996-00 2000-05 2006-2009 2009-
207 1089 1581 2195 3247 2667 2842
Value ( in
Rs.1.26 Rs.12.16 Rs.144.61 Rs.313.09 Rs.512.04 Rs.440.71 Rs.394
A table showing the production of Gypsum in India over the years along
with the corresponding values.
The table alongside
shows the distribution
of non metallic reserves
Out of this entire
composition the squares
represent the places
where Gypsum is found
Major Players in India
Out of the 390 million dollar ( 600 crore) gypsum market Saint Gobain
Gyproc accounts for almost 48% of the total market share, thus being the
pioneer and the clear market leader. Lafarge Boral has a 30 % market share and
ranks second. Sai Gypsum, the major Gypsum brand in the west has about 15%
share in the market while the remaining percentage is comprised by small
players like Armstrong, RCF etc.
7% market share
LAFARGE BORAL GYPSUM INDIA LTD.
A joint venture between the French cement company
Lafarge and the Australian company Boral, is now balancing
two its most matured markets — the US and France with
two emerging economies India and China.
Annual Turnover : USD 10 to 50 Million
130 strong distributors across India
30% market share
warehouses in Chennai, Hyderabad & Mumbai.
A diagram showing the revenue earnings of Lafarge Boral over the years ( in
USD Million) over the last decade.
Gypsum Board Demand / GDP per capita
The above graph shows the relation between the GDP per capita of the south
Asian countries ( mainly) and the gypsum demand of Lafarge Boral
Products offered :
In 2007, it introduced its Single Gypsum Board brand LaGyp
which has been readily accepted by the Indian market and is
today recognized as a mark of quality for the gypsum board
systems and services under LAGyp brand.
-Fire and moisture resistant gypsum boards.
-New patterns for ceiling tiles.
-Metal systems ,and
-other building accessories.
SAI INDIA GYPSUM LTD.
Established in the year 2010, “Sai India Gypsum Private
Limited”, are a leading manufacturer, supplier and
exporter of a comprehensive range of Plaster of Paris
and gypsum products.
Their primary USP is the competitive prices they offer
and the stringent testing methods their products go
through before being launched in the market.
Products offered :
SAI India Gypsum Ltd. are a prominent manufacturer,
supplier and exporter of wide range of Plaster of Paris.
Other products consists of :
- Gypsum Universal Plaster,
- Gypsum Stucco Plaster,
- One Coat Gypsum Plaster,
- Plaster of Paris .
Major clientele :
- Nahar Group.
- Gujarat Land Developers
Overview of Saint Gobain Gyproc Ltd.
Company history :
Saint-Gobain Gyproc India Ltd. is part of the Saint-Gobain
Group and a market leader in the construction space in
India for well over three decades.
The company was incorporated on 5th February 1985 at
New Delhi. It was promoted jointly by Hyderabad Industries
Limited and BPB Industries ,U.K.
Saint-Gobain Gyproc has four facilities in India with a total
capacity of 40 million sq metres of gypsum annually.
The world of Saint Gobain Gyproc is about providing
innovative building solutions.
Innovative building solutions mean delivering
• Complete range of products required for ceilings and drywall
partitions ranging from gypsum plasterboards to acoustic
ceiling tiles to metal framing systems to jointing and finishing
products and accessories.
Saint Gobain Gyproc is a part of the 43.8 billion Euros Saint-
Gobain group and is a pioneer and a market leader in the Indian
It has 4 manufacturing plants in Jind, Wada, Bangalore and
Chennai which is backed by sales and distribution set up across
About Saint Gobain Group
Saint Gobain group has basically eight companies in operation
today across two sectors –
Construction Products (Gyproc, Weber, Seva Engineering )
Innovative Materials (Grindwell Norton, Refectories , Crystal and
Detectors India , Sekurit and Glass)
- with an overall turnover of over Rs.2000 Crores.
PRODUCTS and SYSTEMS
Product Mix and Features:
Extensively used in False Ceilings & Walls & Partitions systems.
Fire Line Board
Metal Components of all systems
Gypframe : Budget Metal Series
Universal Plaster ™
A revolutionary plastering material with International standards
- Fire protection
- Sound insulation & absorption
- Thermal insulation
Fire protection,Thermal insulation & fast track construction etc.
Structural performance of systems.
GypCeling Sysytems- The GypCeiling ceiling system is a monolithic suspended
ceiling system that gives a beautiful, homogeneous appearance and smooth
finish without visible joints. The system comprises a concealed Gypsteel
ULTRA TMmetal frame work suspended from the structural soffit. Gypboard or
Gyproc plasterboards are screw fixed to the framework to form the ceiling
Grid Ceiling Systems - The GRID ceiling system is a lightweight lay-in grid
ceiling system available in concealed or exposed grid options. The ceiling
comprises a Gyproc metal framework formed from Main T section with Cross T
section slotted in-between to form the grid.
Drywall Partititon Systems - GypWall drywall partition system is a light-weight
system consisting of Gypsteel ULTRA Gl framework with Gypboard /Gyproc
gypsum plasterboard, screw fixed on either side with drywall screws.
Gypliner - System consists of fixing plasterboard to highly
galvanized GypLynerTM section, secured to walls by fixing brackets. Highly
galvanized metal sections make it resistant to moisture, so it is not affected by
damp and humid areas.
Booming and prospective market
A large number of product lines to
suit the different needs of the
Manufactured by highly trained
workers under strict supervision.
Illustrative brand image.
Price competition from other
companies , especially Lafarge
Low Penetration in Rural Market.
Cost of maintenance in the power
plants are high.
Long training procedures.
Workers have to be highly skilled.
Difficulty in making the masses
understand about the features of
different product lines because of
the high technicalities involved with
Saint-Gobain is, therefore,
committed to investing in India and
to establishing a leadership position
in all its businesses here.
Profitable growth along with
Existing competitive market.
Entry of many new players in
Emergencies like war, terrorism,
natural calamity etc.
Change in consumer preference.
Adverse macroeconomic conditions
like recession and economic
Saint –Gobain Gyproc India Ltd.
2. Occupation: _________________________________________________
3. Monthly Turnover: ( please tick the preferred box)
Less than Rs. 40000 Rs. 40000 – Rs.70000
Rs. 70000 –Rs. 100000 Above Rs. 100000
4. For how many years have you been associated with Saint-Gobain Gyproc ? (please tick the
Less than 2 years 2 – 5 years
5-7 years More than 7 years
5. Which product lines have you mainly dealt with?
6. Did you find the products up to the standard? If ‘not’ then mention in detail what are the things
you want us to improve in our products?
7. If you are satisfied, then how much you will rate the product you have used out of 10?
8. Which is the best medium through which Saint Gobain should advertise its products and
Television Newspaper Magazines
Friends and family Posters and banners Others
9. Do you think the advertisements are quite convincing for those who are new to the products? If
‘No’, please mention why?
10. Are you satisfied with the company’s distribution channels?
The representation of data is based on the responses of the dealers associated with the company.
The sample size is 15.
Figure: a pie chart showing the number of years the dealers are
associated with Saint Gobain Gyproc Ltd.
Figure: a pie chart showing the products and systems that the dealers mainly deal
with, thus depicting a very clear picture of the current market demand
Products mainly dealt with?
Plasterboards : 40%
Systems : 27%
Metal Frames : 13%
Gypsteel : 20%
( APPROX FIGURES TAKEN TO AVOID DECIMAL POINTS)
Which is the best medium through which Saint Gobain should communicate about its
products and systems?
Through dealers – 33.33%
Magazines – 26.67%
Television – 13.33%
Newspapers - 6.67%
Others – 6.67 %
Analysis : the dealers think that it is best if the products
are advertised through them, because they have an
existent customer base and while selling other products
they can easily do a push strategy and sell gypsum.
Others have also said that magazines are a best form as
detailed information will be given. The television medium
was also preferred among some because they said that
with a TV ad, they can get a competitive edge
Satisfied with the way the
products are advertised?
Do you think the advertisements are quite convincing for those who are new
to the products? If ‘No’, please mention why?
Yes: 80 %
ANALYSIS: Around 80% of the dealers think that the advertising done by Saint Gobain Gyproc
are convincing as the dealers all get monthly issues and journals of the company which has
information about the company’s products, prices, ranges and also future plans.. However
some think that that Saint Gobain Gyproc should give more advertisements in other mediums
as well, because the new dealers and customers who are new will not get proper information
in the print media, and also a television advertisement will have an edge over its competitors.
Figure: a pie chart showing the percentage of dealers who are happy with the company’s
distribution channel, over those who are not
Are you happy with the company’s distribution channel?
Yes – 86.67%
ANALYSIS - Most of the dealers (total of 13) were well contented with the company’s
distribution channels including its warehousing and overall logistics. While only a
few ( 2 out of 15) of them though that it was a bit too complex, and this might lead
to problems in the future.
The dealers who are associated with Saint-Gobain Gyproc do not follow the same
marketing strategies as the company.
The primary demand in the market is that of plasterboard and to some extent, false ceiling
systems. Gypsteel and metal frames although purchased are used in very small quantities.
Saint-Gobain Gyproc advertises its products mainly through business magazines and
newspapers, they hardly use the television and the radio media. However their major
communication medium is via word of mouth.
The promotional strategies of Saint-Gobain in India compared to other nations is quite low
Saint-Gobain gyproc manufactures its products keeping in mind the ever increasing
problems of environmental degradation. They manufacture their products in such a way
that is environmentally safe. Sustainable development in the society is their primary goal,
including a greener and a cleaner environment, and this is carried out by their project ‘Go
The researcher had to complete the work within the stipulated time
limit and the sample size was restricted to 15 respondents.
Since the project is of qualitative nature there was participant’s
biasness in some cases.
The respondents were not open to the questions asked.
Working , and travelling to South Gujarat as a part of my work made
me give very little time and attention to this report.
Further studies about the company involved to research it in depth
from the net, but the main problem was that since I am posted in
Ahmedabad the face to face interaction with the dealers could not be
done. I believe a ,lot of more details and more study could have been
done if met with the dealers personally and on a regular basis.
The apparent estimated domestic demand of gypsum is
estimated at 5.66 million tonnes by 2014-15 and 8.71 million
tonnes by 2019-20 at a 9% growth rate.
India's main focus is the creation of more infrastructure
with a view to infuse momentum in its economy and
participation in its industrial development. These activities
will keep the cement industry to grow and accordingly, the
consumption of gypsum will increase.
Production of gypsum wallboard in India is negligible. Its
light weight and other special characteristics could facilitate
its utility as a light weight and attractive partition material
that is increasingly used in high rise buildings.
www. Saint-Gobain gyproc.com
63rd Annual Report , 2012-13
The Economic Times.
Principles of Marketing – Philip Kotler.
Marketing Research – N. K. Malhotra.
Handout provided by Jaideep Sir.