India Grasim Industries' paints to be cheaper than Asian Paints, Morgan Stanley says

Berger Paints India

22/03/2024 10:03

** Analysts at Morgan Stanley say paints business launched
by Grasim Industries  GRAS.NS  in Feb will have 5-6% cheaper
product pricing than Asian Paints  ASPN.NS , which currently
controls nearly half of India's paints market
    ** With Grasim's entry into the paints business, dealers
indicate ASPN has intensified servicing - MS note
    ** Separately, demand trends for paint companies is similar
across urban and rural dealers in Q4; better demand seen in
southern markets - brokerage
    ** Adds 3-5% price cuts have been taken across brands and
products in Q4 
    ** GRAS has gained 4.5% so far this year while ASPN is down
~16% YTD
    ** Peers Kansai Nerolac Paints  KANE.NS , Berger Paints
India  BRGR.NS  and Indigo Paints  INDG.NS  have lost ~19%, ~7%
and 11%, respectively, YTD


 (Reporting by Dimpal Gulwani in Bengaluru)
 ((dimpal.gulwani@thomsonreuters.com))