UPS and inverter markets shoot up by 15-20 per cent in two days

- Advertisement -
- Advertisement -

According to manufacturers of power backup systems, this was a unique season where prices remained stable, despite input costs of copper and lead increasing due to rupee’s depreciation.

By Srabani Sen

The delayed monsoon and the power grid failure in north India saw the UPS and inverter market booming this month. Sales of inverters and batteries jumped about 30 per cent for the quarter that closed on June 30. Manufacturers of power backup systems expect good profits this year, as the increase in sales will offset the rise in input costs due to a weak rupee.

- Advertisement -

Grid failure—a boon?

There was a 15-20 per cent rise in demand and revenues in the two days when the north Indian power grid failed, particularly for household inverters and new batteries. Local dealers of inverters in the national capital region also reported a rise in demand for these backup products. From receiving an average of five-six queries a day, retail shops were soon bombarded with 20-25 queries. A Panipat based inverter and battery dealer, Ahuja Electronics, had an 80-85 per cent increase in the number of queries, while its sales grew by 60 per cent in just two days.

Growth in the power backup market was also driven by higher consumption in southern India. According to the manufacturers of power backup systems, this was a unique season where prices remained stable, despite input costs of copper and lead increasing due to rupee’s depreciation.

Companies register growth

Although Exide Industries suffered a loss in the same quarter due to reduced demand in the automotive industry, its spokesperson said that overall, growth was robust despite a 4-5 per cent rise in product prices.

Inverter manufacturer Luminous Power Technologies’ first quarter sales grew manifold and the company plans to double its capacity at its Baddi and Gagrit facilities in Himachal Pradesh.

This summer season, sales were also good for Microtek International as the company grew by about 25 per cent.

Further growth expected

Currently, the power backup market in India is worth about Rs 36 billion, which represents a growth of around 9 per cent over the previous year. “With India’s economy set to grow at a brisk pace and with the continued power deficit situation, the demand for backup power solutions in the form of inverters, UPS systems and batteries is expected to witness a healthy growth in the coming years,” says Suhas Joshi, director, sales, UPS systems, Delta Power Solutions.

With the overall market size increasing, a widespread shift has taken place from the organised to the unorganised sector, points out an ASSOCHAM report. The report says that the growth ratio between the unorganised sector vis a vis the organised sector is 60:40. As a result, large players in the inverter and UPS segment will face tough competition in view of the price differential of

Rs 2000-3000 per inverter in the NCR. “Manufacturers are battling to keep prices of UPS systems and inverters stable owing to inflationary pressures, higher import duties and the devaluation of the rupee against the dollar. However, demand has not been affected yet,” explains B Venkat Rao, country manager for medium and large UPS systems, Emerson Network Power, India.

- Advertisement -

Related Artcles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Exclusive

“More Chargers Provide Security And Confidence To Customers, Encouraging EV Adoption”

0
With an agenda to transform the EV industry, EarthtronEV has established 250+ charging stations on major highways across India. The company aims to interconnect...

5G RedCap To Transform IoT Module Shipments

0
Over 60% of IoT module shipments will originate from the Asian & Oceania region. Automotive sector is expected to be a significant driver. The...
XR Headset Quest 3, Meta

Global XR Headset Shipments See A Major Decline, Sony Rises

0
Sony grabbed a market share of 24% in 2023 up from 1% in 2022. Bulky form factor, and lag, hinder adoption by serious...

Buzz

Tenstorrent- RISC V cores

MosChip Collaborates With Tenstorrent For Advanced RISC-V Cores

0
Tenstorrent has selected Moschip due to their tape out expertise in design services. India’s MosChip Technologies has announced partnership with computing company Tenstorrent and to...

BYD Aims For 20% Increase In Yearly EV Sales

0
The company is targeting sales of 500,000 vehicles internationally this year, over twice the amount sold last year, and aims to increase that figure...

RRP Electronics To Invest ₹5000 Cr In OSAT and R&D In Maharashtra

0
Cricket legend Sachin Tendulkar is investing in this semiconductor facility. Such celebrated personalities investing in the sector could be a great asset to the...

Important Sectors

“More Chargers Provide Security And Confidence To Customers, Encouraging EV Adoption”

0
With an agenda to transform the EV industry, EarthtronEV has established 250+ charging stations on major highways across India. The company aims to interconnect...

BYD Aims For 20% Increase In Yearly EV Sales

0
The company is targeting sales of 500,000 vehicles internationally this year, over twice the amount sold last year, and aims to increase that figure...

RRP Electronics To Invest ₹5000 Cr In OSAT and R&D In Maharashtra

0
Cricket legend Sachin Tendulkar is investing in this semiconductor facility. Such celebrated personalities investing in the sector could be a great asset to the...

Subsidy Cuts Push E2W Makers Towards Budget Models

0
Electric two-wheeler manufacturers face reduced government subsidies and growing competition from established petrol vehicle brands in the upcoming fiscal year. These challenges compel them...

Nissan To Invest In Renault’s Ampere For EV Roadmap

0
The alliance aims to introduce both five-seater and seven-seater models for each brand in India. Japan's Nissan Motor has committed to investing in Renault's electric...

Manufacturing

JLR To Hire 250 Electrical Technicians For Future EVs

0
These new roles, part of a £15 billion investment, are in addition to 300 positions created last year by the British car maker. Jaguar Land...

Altmin India Partners With WMG To Advance Battery Tech

0
Altmin and WMG will collaborate to strengthen their global battery materials supply chain position by optimizing cathode materials and developing diverse cell designs across...

EVs To Cost Less Than Gas Vehicles by 2027, Says Gartner

0
Gartner predicts a faster decline in production costs compared to battery costs, which represent the most significant expense in an electric vehicle, accounting for...
MG

MG Motor To Set Up Battery Assembly Unit At Halol Facility

0
The company plans to investigate battery cell production in collaboration with external partners. Automaker MG Motor India is actively exploring the possibility of assembling and...

Servotech Boosts India’s EV Charging Infrastructure With Manufacturing Facility

0
The new facility is poised to start with an annual production capacity of 24,000 power modules and plan to scale up to 2.4 lakh...