India Battery Market

India Battery Market Overview:

The India battery market size reached US$ 6.22 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 14.08 Billion by 2032, exhibiting a growth rate (CAGR) of 9.5% during 2024-2032. The rising adoption of electric vehicles (EVs) due to environmental concerns among individuals, the expansion of telecommunication and information technology (IT) infrastructure, and advancements in battery technology are some of the main drivers of the market.

India Battery Market Analysis:

• Major Market Drivers: The rising focus of key companies on maintaining their sustainability goals currently represents a major driving factor. Moreover, the increasing shift towards renewable energy sources is fueling the market growth.   
• Key Market Trends: The market demand is rising because of numerous primary trends, which include the rising adoption of EVs and advancements in battery technology.
• Competitive Landscape: Some of the major India battery companies are also provided in the report.
• Challenges and Opportunities: Infrastructure limitations are offering challenges to the industry investors. Nonetheless, the increasing reliance on consumer electronic devices is projected to offer India battery market recent opportunities.

India Battery Market Trends:

Rising Sales of Electric Vehicles 

According to the EVreporter, there were approximately 12,43,258 electric vehicles (EVs) sold in the financial year 2022-2023 in India, an increase from the previous year, i.e., 4,90,210 in 2021 to 2022. The growing use of batteries due to the increasing adoption of electric vehicles is offering a positive market outlook. People are adopting EVs due to rapid urbanization and the need for personal vehicle for commuting purposes, which is influencing the India battery market share. In addition, India is witnessing a rise in the adoption of EVs owing to concerns about air pollution. Apart from this, governing agencies in India are encouraging the adoption of EVs by implementing stringent environmental regulations and promoting clean energy transportation.

Expansion of Telecommunication and Information Technology (IT) Infrastructure

As per the Invest India, the telecom industry is the second largest in the world with a subscriber base of 1.084 Billion as of Feb 2024, including wireless and wireline subscribers, in the country. The utilization of mobile phones and internet services is leading to an expansion of telecommunication and IT infrastructure across the country. Batteries are vital in providing backup power to cell towers, data centers, and other critical infrastructure to ensure uninterrupted connectivity. As a result, there is a rise in the employment of batteries in these infrastructure settings to enhance productivity, reduce downtime, and minimize financial losses.

Advancements in Battery Technology

Innovations in battery technology like improvements in energy density, charging speeds, and cycle life, are catalyzing the India battery demand. These advancements enhance the performance and reliability of batteries and make them more cost-effective. In line with this, major manufacturers are introducing new battery technologies that are affordable and have a longer shelf life. For instance, on 30 May 2022, Indian Institute of Technology (IIT) Madras Researchers developed mechanically rechargeable zinc-air batteries as an alternative to lithium-ion batteries which are suitable for use in EVs. The researchers collaborated with major industries to develop these zinc-air batteries. They are economical as compared with existing lithium-ion batteries and have a longer shelf life. These batteries can be used in two-wheeler and three-wheeler EVs.

India Battery Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with India battery market forecast at the country and regional levels for 2024-2032. Our report has categorized the market based on type, product, and application.

Breakup by Type:

• Primary Battery
• Secondary Battery
   

The report has provided a detailed breakup and analysis of the market based on the type. This includes primary battery and secondary battery.

Primary battery is a non-rechargeable battery that generates electrical energy through chemical reactions. It is designed for single-use applications and cannot be recharged or reused. It consists of one or more electrochemical cells that convert stored chemical energy into electrical energy. Various examples of primary batteries are alkaline batteries, zinc-carbon batteries, and lithium batteries. These batteries are used in portable electronic devices, toys, flashlights, and various other devices where a long-lasting but non-rechargeable power source is required. In addition, these batteries do not require any maintenance or special procedures, can be safely disposed of without any specific considerations, and have a longer shelf life.

Secondary battery is a rechargeable battery that can store and release electrical energy multiple times. It can be recharged by applying an external electrical current that reverses the chemical reactions within the battery, unlike primary batteries. Several examples of secondary batteries are lead-acid batteries, lithium-ion batteries, and nickel-metal hydride batteries. They are used in applications such as EVs, portable electronics, renewable energy systems, and grid storage, where the ability to recharge and reuse the battery is essential for sustainability and cost-effectiveness. They provide a stable voltage output throughout their discharge cycle.

Breakup by Product:

• Lithium-Ion
• Lead Acid
• Nickel Metal Hydride
• Nickel Cadmium
• Others
   

A detailed breakup and analysis of the market based on the product have also been provided in the report. This includes lithium-ion, lead acid, nickel metal hydride, nickel cadmium, and others.

Lithium-ion battery has single or multiple lithium-ion cells, along with a protective circuit board. Lithium-ion cells have a low self-discharge rate, distinct from other types of rechargeable batteries. Lithium-ion batteries offer enhanced lifespans as compared to lead acid counterparts. They are relatively tolerant to harsh environmental conditions and provide fast charging times. They are also advantageous for high-power applications, where a battery needs to deliver large amounts of current, such as jump starting a vehicle. They are cost-effective, easy to maintain, have a wide variety of models, and offer continuous voltage.

Lead acid battery is one of the most widely used types of rechargeable batteries. It is used for automotive and industrial applications due to its reliability, low cost, and robustness. It allows for high surge currents and has a low density of energy, which enables it to start an engine. Besides this, it is simple to manufacture and can provide high discharge rates.

Nickel metal hydride battery have higher power and energy density and a longer life cycle as compared to lead acid batteries. It is completely safe, and its power output is not affected by the battery state of charge. It is considered more eco-friendly than some other battery chemistries including lead-acid or nickel-cadmium, because they do not contain toxic heavy metals such as cadmium or lead. It has a lower risk of thermal runaway and is less prone to overheating during charging or discharging.

Nickel cadmium battery has a flat discharge curve, extremely good cycle life, very high discharge rate, and low cost. It can endure a large number of charge-discharge cycles without degradation, making it preferred choice for applications requiring frequent cycling, such as power tools and medical devices. It can withstand a wide range of temperatures and environmental conditions. It can be rapidly charged without significant loss of performance or capacity.

Breakup by Application:

• Automotive Batteries
• Industrial Batteries
• Portable Batteries
   

The report has provided a detailed breakup and analysis of the market based on the application. This includes automotive batteries, industrial batteries, and portable batteries.

There is an increase in the need for automotive batteries due to the adoption of vehicles among individuals in the country. They provide the initial burst of electrical energy needed to start the vehicle's engine. The automotive sector uses lead acid chemistry, specifically the flooded lead-acid type, due to its reliability, affordability, and ability to deliver high surge currents. Some modern vehicles also use absorbent glass mat (AGM) or gel lead-acid batteries for enhanced performance and durability.

Industrial batteries encompass a wide range of battery chemistries and configurations, each tailored to specific industrial applications. Common types include lead-acid batteries, nickel-cadmium batteries, nickel-metal hydride (NiMH) batteries, lithium-ion batteries, and various other types. Industrial batteries are used in diverse industrial applications, including telecommunications, utilities, manufacturing, marine, aerospace, and renewable energy. They provide backup power during mains power failures, store energy from renewable sources, power electric vehicles and forklifts, and support critical operations in remote or off-grid locations.

Portable batteries power a wide range of electronic devices including smartphones, laptops, tablets, digital cameras, handheld gaming consoles, and wearable devices. They provide the necessary energy to operate these devices while enabling mobility and convenience. These batteries prioritize energy density, aiming to provide high energy storage capacity in a compact and lightweight form factor.

Breakup By Region:

• South India
• North India
• West & Central India
• East India
   

The report has also provided a comprehensive analysis of all the major markets in the India which include South India, North India, West & Central India, and East India.  

South India has various advanced research facilities that allow key players to introduce innovative battery technologies. This geographical area has a vast number of manufacturers and researchers, which is propelling the India battery market growth. On the other hand, favorable government initiatives in the North India regarding environmental pollution are supporting the market growth. In addition, the rising adoption of EVs among individuals is contributing to the market growth.

Competitive Landscape:

• The market research report has also provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have been provided.
• Major players in the industry are engaging in collaboration with companies to launch innovative products with enhanced performance, which is increasing India battery market revenue. They are also investing in research and development (R&D) activities to expand their portfolios. For instance, on 2 December 2022, Amara Raja Batteries Ltd planned to invest INR 9,500 Crore over the next 10 years in Telangana on setting up research and manufacturing facilities for lithium-ion battery-making in the state. The company signed a memorandum of understanding (MoU) with the Telangana government to set up research and manufacturing facilities for lithium-ion battery-making in Mahbubnagar district.   

India Battery Market Recent Developments:

• 2 June 2023: Tata Group unveiled lithium-ion cell manufacturing facility in Gujarat through its subsidiary with an initial capacity of 20 GWh at a cost of INR 13,000 Crore.
• 31 March 2024: Panasonic Group announced a joint venture with Indian Oil Corporation Ltd (IOCL), to manufacture cylindrical lithium-ion batteries. Panasonic Energy Co Ltd, a group firm of Japan-based multinational electronics company, signed a binding term sheet and initiated discussions with IOCL "to draw a framework for the formation of a joint venture" for cylindrical lithium-ion batteries.

India Battery Market Report Scope:

Key Questions Answered in This Report:

• How has the India battery market performed so far, and how will it perform in the coming years?
• What has been the impact of COVID-19 on the market?
• What is the breakup of the market on the basis of type?
• What is the breakup of the market on the basis of product?
• What is the breakup of the market on the basis of application?
• What are the various stages in the value chain of the India battery market?
• What are the key driving factors and challenges in the India battery market?
• What is the structure of the India battery market, and who are the key players?
• What is the degree of competition in the India battery market?

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the India battery market from 2018-2032.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the India battery market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the India battery industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.