The Indian paint industry has two main market segments-industrial and decorative paints.

While industrial
paints are used for protection against corrosion and rust on steel structures, vehicles, white goods and
appliances, decorative paints are used in protecting valuable assets like buildings.

The Indian decorative business has a share of approximately 77% in total sales. In foreign countries 50-70% of
the business is from the industrial segment.

The trends are likely to shift in India too, but at a slower pace, in favor of industrial paints. The per capita
consumption of paint in India is 700 grams versus 19 kg in the U.S. and 2.7 kg and 5.8 kg in other developing
countries like China and Brazil. Because consumption relates to affordability, the low Indian figure is not a
surprise.