Index : 1,458 | 1Yr : +27.91% | 1Mo : +3.48%
Category : Sectoral Trackers
Min Investment : 8,092
The pump industry in India is highly fragmented with over 600 pump manufacturers. India exports pumps to more than 100 countries around the world and its domestic market has been growing above 15% per annum which is way higher than the global average. More than 40 percent of the total demand for pumps comes from the agricultural sector and 20 percent comes from domestic demand.
Depletion in groundwater level has a positive impact on this sector as rising population and urbanization are causing more people to use up the existing underground water resources in the cities. Lack of good monsoons also positively affects the pump market to some extent. Rural electrification across the country can boost demand for pumps. Subsidized electricity can also come as a boon as roughly 90 percent of the total cost of owning a pump is from electricity. The GOI's alternative to install over 100,000 solar powered pumps can supersede this shortcoming and decrease the cost of maintaining a pump in the long run.
This theme includes the most prominent and promising pump manufacturers in India. Invest in these companies to benefit from their future growth prospects.