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Paint companies expect festive season demand to remain strong

ICICIdirect Research 30 Sep 2026 DISCLAIMER

News: As per the media reports, Paint companies expect festive season demand to remain strong, supported by an early withdrawal of the monsoon, lower rainfall disruption and a pickup in home renovation activity. Berger Paints expects festive-season volume growth to be better than last year, while JSW Dulux also sees strong festive-season sales. Asian Paints expects demand to remain resilient, with volume growth expected at 8–10%.

View: The festive-season outlook for paint companies remains positive this year compared with last year, when prolonged rains and an early Diwali curtailed the selling window. This year, lower rainfall disruption and a longer period for painting activity  are supporting healthy demand and volume growth. Demand remains uniform across urban and rural markets. However, crude remains elevated at >$100/bbl amid geopolitical instability, keeping crude-derivative-linked raw material costs under pressure. Paintmakers have already taken aggregate price hikes of ~13%, with further increases being considered if crude prices remain elevated. However, companies continue to monitor the trade-off between pricing and consumer demand, with margins likely to remain under pressure if input costs stay high.

Impact: Positive

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