Pharmaceuticals

The pharmaceutical domain consists of highly differentiated chemical and biological substances used to induce specific outcomes in humans, animals, plants and other life forms. The segment is characterized by a high degree of research, intellectual capital and skilled manpower. This segment relies extensively on R&D for new products. Most of it is capital intensive and the scale of operations is important to provide the financial strength and access to global markets. It can be broadly classified into three categories :–

• Human APIs( active pharmaceutical ingredients)
• Veterinary APIs & Animal feed
• Excipients

Personal Care Ingredients

The personal care segment represents a wide range of active & functional ingredients for skin, body and hair care products. It can be segregated into cosmetics, face care, hair care, deodrants, shower, soaps, suncare, skincare, oral care, shaving/mens skincare, decorative cosmetics, The portfolio comprises:-

• Delivery Systems
• Anti-aging "actives"
• Colors and pigments
• UV Filters and Sun protection products
• Natural Extracts
• Exfoliants
• Vitamins
• Vegetable Oils
• Emulsifiers
• Emollients
• Polymers
• Performance botanicals
• Surfactants
• Thickeners
• Dyes
• Fragrances

Natural Products

The natural products segment outlines those products which are derived from natural substances, i.e, tissues of terrestrial plants, marine organisms or microorganisms fermentation broths, venoms or toxins. This sector marks the entry of cyclical products, showing seasonal availability and other characteristic features. They are specific to regions. Most of them find huge applications in various industries across several verticals. These include natural extracts, essential oils, etc.

Food Ingredients

The food ingredients market is broadly categorized into food additives, color additives, GRAS(generally regarded as safe) substances and Prior sanctioned substances. Food Additives are further divided into Direct & Indirect Additives. They can be listed as :–

• Preservatives ( Antioxidants & Anti-microbials)
• Flavors/Flavor Enhancers
• Hydrocolloids
• Enzymes/Tenderizers
• Emulsifiers
• Stabilizers/Thickeners/Gelling Agents
• Sweeteners
• Functional foods
• Calorie reduction agents
• Glazing agents
• Sequestrates
• Raising agents
• Firming agents
• Anti-caking agents
• Humectants
• Acidity regulators
• Bulking agents
• Adsorbents

Industrial Chemicals

This segment includes organic and inorganic chemicals, chlor – alkalis, aromatics, thermoplastics, thermosets, petrochemical intermediates and derivatives and fertilizers. Raw material and energy costs form the largest cost components. Volume drive growth, as products are standard and there is very little product differentiation across manufacturers. This segment is characterized by high capital intensity and high entry barriers on account of stringent regulations. R&D spends are limited and largely application oriented. They are used by other industries as raw materials and converted to end-products. Hence their demand depends on the market dynamics of the end-use industries, which is often cyclical. They are further categorized as:-

• Construction Chemicals & fabrication
• Electronics & Electroplating
• Petrochemicals, oils, metals & petroleum refining
• Paper & Cellulose
• Textiles, leather auxiliaries & fur
• Washing & Cleaning
• Water treatment
• Automotive/Aerospace

CASE

The Coating Adhesives Sealants Elastomers (CASE) segment includes paints and coatings, adhesives and sealants, additives for pharmaceuticals, lubricants and additives, catalysts, polymer additives, plastics, fibers and plastic additives. They are characterized by vastly differentiated products with a high degree of value addition. While capital investment requirements are relatively low, investment in R&D to develop new products and applications is high. They have typically smaller production units with more flexibility.