Up 160% in 10 months; will Grasim's foray into paint biz mean more upside?

The Indian paint industry is valued at approximately Rs 54,500 crore and is expected to grow to Rs 97,100 crore by 2024, according to the estimates of Indsec Research

A strong growth outlook for the paints sector has Grasim Industries hooked as it looks to identify new growth engines. However, analysts believe the path to success in the oligopolistic Indian paint market will not be an easy feat to achieve.

Grasim on Friday announced that it will foray into the paints business with an initial investment of Rs 5,000 crore over the next 3 years. This is part of the company's endeavours to invest in businesses that have the potential to be a leader in their addressable markets and generate consistent and attractive returns in the long term.