India Diamond Tool Industry Market Analysis Report2

TWO: Market

Indian stone is currently divided into two regions: north and south. The southern region is dominated by Bangalore, Madurai, Hyderabad and surrounding cities. The stone is generally soft, and the representative ones are Tan Brown (British brown) (medium hard) and Galaxy Black(soft); The northern region is centered on Rajasthan, including Jalal, Jodhpur, Udhpur, Rajasama, Kishangar and Kota, with a wide variety of stones, including marble, granite, sandstone and limestone. The hardness of stone is also hard and soft, and the requirements for diamond tools are also on the high side.

 

Take northern India for example:
Marble,

mainly in Agimer and Rajassama, cut mostly 1600 diamond single-blade and diamond frame saw. There are over 1600 set diamond single-blade saws and about 200 sets of diamond frame saws in Rajasama. Agimer's saws are about half of Rajasama's. The sharpness of diamond segment required by the market demand are very good, but the price is generally low, so the local diamond segments generally occupy the market.

Granite,

mainly distributed in Jarol and Gihangar, is cut with a 2000 diamond single-blade saw and a combination saw with a 5.5- and 6.5-thick matrix.

There are over 2000sets 2000-single-blade saws and 250 combination saws in Jarol area, about 800 sets single-blade saws in Gichanger and about 400 sets combination saws(diamond multi-saw).

 

Total diamond segments usage in the two regions: 2000 single blade saw diamond segment about 11500 sets(128pcs diamond segment/set), and combination saw(multi-saw) diamond segments about 390,000 pcs.

 

So the market capacity is 11500*65=747500 US dollars per month for a 2000 diamond segment with an average of $65. The combined saw(multi-saw) diamond segments, calculated at an average of $0.38 per pcs, has a market capacity of $400,000*0.38=152,000 per month. The total capacity of the diamond segment is conservatively estimated to be approximately $900,000.

 

"At present, the market is basically divided into three parts., with about 1/3 of Wanlong Diamond Tools."

Local Vinayak Diamond Tools and other small tool manufacturers make up about one third.

Zhongzhi Diamond Tools, Exin, Shuangyang, Fuli and Lin Xing account for the remaining 1/3

Sandstone,

mainly distributed in Jordepur and Kota. Jordepur mainly uses 1350 and 1600 single-blade saw cutting. The diamond segments consumption is about 2500 set per month, 1350-segment occupies 1/3, 1600-segment occupies 2/3.
Market price 1350-segment: 30 USD/set, 1600-segment about 45 USD/set, market capacity: 25,000+75000 = 100,000 USD. At present, the market mainly includes ZHONGZHI diamond tools, Shuangyang, Exin and Vinayak(India Brand) .

Limestone,

mainly distributed in Kota, is also a 1350 and 1600- single-blade saw with a diamond segment consumption of about 1,200 sets per month. Because end-customers require cutting of the diamond segment to be sharp and have a lifetime, this market is still being developed by local tool factories in India.

 

At present, for the diamond tool industry which is preparing to enter this market, it is better to start with the granite combination saw(multi-saw) diamond segments and the single blade saw diamond segments of granite and sandstone. If we can achieve 5% of the market in the initial stage, we should first hold our ground and then rapidly expand on the basis of quality assurance.

 

As for 350 saw blade and 400 saw blade. At present, the larger capacity is 350 saw blade. Customers are scattered and unsuitable for direct sale. They can only act as regional agent. Only cash can be requested in terms of payment method and unit price can give maximum discount.

The 350 saw blades have several large markets.
1. Mumbai: Distribution of major traders.
2. New Delhi: Distribution of major traders.
3. Bangalore: Distribution center of major traders.
4. Chennai: Distribution place of major traders.
5. Ahmedabad: Secondary agent distribution center.
6. Jaipur: a secondary agency distribution center.

 

If you want to set up a site for 350 saw blades in the early stage, it is suggested to set up the site in the following cities: New Delhi, Mumbai or Ahmedabad and Jaipur.

New Delhi and Mumbai are the two largest trade distribution centers. It is easy to contact traders from all over the country, and the logistics is also very convenient. It is convenient for products to be sent to all parts of the country quickly. The only disadvantage is that the product price will be very low.

Ahmedabad,

the provincial capital of Gujarat, is the hometown of Modi, with rapid industrial development. The China Industrial City signed between China and the Indian government is also next to Ahmedabad. Gujarat's position in India is equivalent to Guangdong Province of China. Gujarat has signed a strategic partnership with Guangdong Province. However, Ahmedabad is still a little far from the stone market.

 

Jaipur is the provincial capital of Rajasthan.

The Indian stone exhibition is held in Bangalore and Jaipur every year. Jaipur has convenient transportation, 180 kilometers from Kishangar, 350 kilometers from Jarol, 300 kilometers from Jodhypur, 200 kilometers from Kota, and 280 kilometers from New Delhi, but it is not centralized. It is suitable to be a secondary agent and also convenient to develop regional agents in various cities. Several Chinese diamond tool enterprises have offices in Jaipur. A variety of diamond tools and materials can be sold here, with a market capacity of nearly $500000 per month. Containing diamond powder, metal powder, diamond segments, diamond saw blade, etc.

 

Market sales price of diamond tool products:
5.5 thick blanc combined saw blade(multi-saw) segment: about ￥3/pc;
6.5 thick blanc combined saw blade(multi-saw) segment: about ￥3.3/pc;
2000 single-blade saw blade segment:(medium hard) ￥4.5-4.8/pc;
2000 single saw blade segment(soft): about ￥4/pc;
350 granite saw blade: ￥115-120/pc;
350 marble saw blade: ￥115-120/pc;
The price will fluctuate by about 10% in different cities.

 

This is only an analysis of the business opportunities of diamond stone tools, as well as diamond ceramic tools, diamond concrete tools, asphalt tools, etc. These markets are also very large. Although the amount of stone tools can not keep up with the current amount, the growth potential is very large.