Press Release

India Industrial Specialty & Shielding Gases Market to Grow with a CAGR of 5.12% through 2030

Growth in research and development activities is expected to drive the India Industrial, Specialty & Shielding Gases Market growth in the forecast period, 2026-2030

 

According to TechSci Research report, “India Industrial, Specialty & Shielding Gases Market- By Region, Competition, Forecast and Opportunities, 2020-2030F”, the India Industrial, Specialty & Shielding Gases Market stood at USD 1.58 billion by 2024 is expected to reach USD 2.14 Billion by 2030 with a CAGR of 5.12% during the forecast period. 

India’s strategic efforts to position itself as a major player in the global electronics and semiconductor manufacturing market are significantly influencing the demand for industrial gases, driving substantial growth in the country’s Industrial Specialty and Shielding Gases Market. As the electronics and semiconductor industries expand, the requirement for high-purity gases such as nitrogen, hydrogen, argon, and krypton is rapidly increasing due to their critical roles in various semiconductor manufacturing processes.

Semiconductor production involves several intricate steps, including wafer cleaning, etching, and deposition, each of which relies on specific gases to achieve the required quality and precision. For example, argon is often used in plasma etching to create intricate circuits, while nitrogen is essential in maintaining an inert atmosphere during manufacturing, preventing contamination that could compromise product quality. Hydrogen plays a key role in chemical vapor deposition (CVD) processes, essential for producing thin films on semiconductor wafers. Krypton and other rare gases are used in advanced photolithography techniques for creating fine patterns on semiconductor chips. These gases are indispensable for maintaining high standards of quality control, efficiency, and safety throughout the semiconductor manufacturing process.

The Indian government's initiatives to establish semiconductor fabrication plants (fabs) and attract foreign investments through schemes such as the Semiconductor Mission are accelerating the growth of the country's semiconductor ecosystem. These efforts aim to reduce India’s reliance on semiconductor imports, promote technological advancements, and position India as a hub for global semiconductor production. The establishment of new fabrication plants, along with increasing research and development in this field, is expected to create a significant spike in the demand for industrial gases. As India continues to focus on self-reliance in semiconductor manufacturing, coupled with a growing emphasis on electronics production for both domestic consumption and export, the demand for industrial gases such as nitrogen, hydrogen, argon, and krypton is projected to rise sharply. This trend will contribute to robust market growth and further cement India’s position as a key player in the global electronics and semiconductor sector.

 

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The India Industrial, Specialty & Shielding Gases Market is segmented into application, mode of distribution, regional distribution, and company.

In the India Industrial, Specialty & Shielding Gases Market, the bulk distribution mode is anticipated to dominate during the forecast period. Bulk gases, delivered in large quantities via pipelines or cryogenic tankers, are favored by industries with high-volume gas requirements, such as steel manufacturing, chemicals, and petroleum refining. These industries rely on bulk gases like oxygen, nitrogen, and argon for large-scale operations, including processes like metal fabrication, chemical production, and refining. The dominance of bulk distribution is largely driven by the increasing demand from heavy industries that require a continuous supply of industrial gases for sustained production. Bulk gases are more cost-effective for such industries because they eliminate the need for frequent deliveries and reduce overall transportation costs. The use of bulk gas supply systems allows for a more reliable and uninterrupted gas supply, which is crucial for industries operating 24/7.

As India's industrial sector continues to expand, especially in the fields of manufacturing, automotive, and infrastructure development, the demand for bulk gases is expected to rise. Government initiatives such as the Make in India program, designed to boost domestic manufacturing capabilities, will further increase demand for industrial gases on a larger scale, reinforcing the need for bulk distribution.

Based on region, in the India Industrial, Specialty & Shielding Gases Market, after West India, the Southern region is the second-dominating region in terms of market share and growth. This can be attributed to the region’s robust industrial base, including significant contributions from sectors such as automotive, chemicals, electronics, and pharmaceuticals, all of which require industrial gases for various manufacturing processes. Southern India is home to major industrial hubs like Chennai, Bengaluru, Hyderabad, and Coimbatore, where manufacturing activities are rapidly expanding. The automotive sector in cities like Chennai, which is often referred to as the "Detroit of India," has seen substantial growth, driving the demand for gases like argon, carbon dioxide, and oxygen, used extensively in welding, metal cutting, and other fabrication processes. Electronics manufacturing in Bengaluru has been a key driver of specialty gases such as nitrogen and hydrogen, essential for semiconductor production and electronics assembly.

The pharmaceutical and biotech industries in Southern India, particularly in Hyderabad, have also contributed significantly to the demand for industrial gases, as these industries use gases for processes like inert atmospheres, cryogenic storage, and medical gas supply. Furthermore, food and beverage industries in the South are increasingly relying on gases such as carbon dioxide for carbonation, preservation, and packaging, fueling the need for specialty gases. 


Major companies operating in India Industrial, Specialty & Shielding Gases Market are:

  • Praxair India Private Limited
  • Linde India Limited
  • Bhuruka Gases Limited
  • Bombay Oxygen Corporation
  • SICGIL INDIA LIMITED

 

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“The Indian industrial, specialty, and shielding gases market is experiencing significant growth due to increased investments in research and development (R&D) activities. These investments are driving innovation in gas production, storage, and delivery systems, leading to more efficient and cost-effective solutions across various industries. For instance, advancements in gas separation technologies have enabled the production of high-purity gases, catering to the stringent requirements of sectors like electronics manufacturing and pharmaceuticals. The development of specialized gas mixtures tailored for specific applications has opened new avenues for market expansion. The government's support for R&D initiatives, coupled with collaborations between industry players and academic institutions, is further accelerating technological advancements. This trend not only enhances the competitiveness of Indian industries but also positions the country as a hub for innovation in the global industrial gases market”, said Mr. Karan Chechi, Research Director of  TechSci Research, a research-based management consulting firm.

India Industrial, Specialty & Shielding Gases Market By Application (Metallurgy, Refinery, Chemical & Petrochemical, Others), By Mode of Distribution (Tonnage, Bulk, Packaged), By Region, Competition Forecast & Opportunities, 2020-2030”, has evaluated the future growth potential of India Industrial, Specialty & Shielding Gases Market and provides statistics & information on market size, structure, and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in India Industrial, Specialty & Shielding Gases Market.

 

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