Report Overview

India Diesel Generator Market - Industry Trends & Forecast Report, 2029

India diesel generator market size was estimated at USD 467.21 million in 2022. During the forecast period between 2023 and 2029, the size of India diesel generator market is projected to grow at a CAGR of 8.1% reaching a value of USD 745.62 million by 2029. Major growth drivers for the India diesel generator market include an increasing population growth, infrastructure expansion, and the rapid industrialization of emerging economies. Diesel generators, renowned for their cost-effectiveness and superior fuel efficiency, have consequently gained popularity in India. Also, the market's advancement can be attributed to factors like the critical need for uninterrupted and dependable power supply, along with the extensive utilization of diesel generators in healthcare and IT sectors. Technological advancements hold the potential to further bolster market growth in the forecast period. Notably, diesel generators serve as primary and backup power sources in the manufacturing industry, aligning with India's ambitions to become a global manufacturing hub by 2030, as promoted by the Government of India's Make in India initiative. These developments are expected to generate substantial prospects for the market.

India Diesel Generator Market – Overview

The India diesel generator market refers to the specific industry sector within India that involves the manufacturing, distribution, sales, and utilization of diesel generators. Diesel generators are devices that generate electricity by burning diesel fuel and are commonly used as backup power sources in situations where a reliable and uninterrupted power supply is essential, such as in various sectors like healthcare, IT, manufacturing, and more. This market encompasses various stakeholders and activities related to diesel generator production, distribution, and consumption within the Indian market.

India Diesel Generator Market

Growth Drivers

Increasing Demand for Uninterrupted Power Supply

India diesel generator market is thriving as a result of the surging demand for uninterrupted power supply. In a nation where power outages can be frequent, various sectors such as healthcare, IT, and manufacturing rely heavily on diesel generators to ensure a constant and reliable electricity source. The need for continuous power supply has been driven by population growth, infrastructure development, and rapid industrialization. Diesel generators, with their cost-effectiveness and efficiency, have become a favored solution. With India aiming to become a global manufacturing hub and initiatives like "Make in India," the diesel generator market is poised for significant expansion and increased opportunities.

Restraints

High Cost of Diesel

The India diesel generator market faces challenges due to the high cost of diesel fuel. While diesel generators are essential for ensuring uninterrupted power supply in various sectors, their operational costs, particularly fuel expenses, can be a burden. The rising price of diesel fuel places financial strain on businesses and industries that heavily rely on these generators. As a result, some users might explore alternative energy sources or more fuel-efficient options. Despite the market's growth potential, the cost of diesel fuel remains a significant restraining factor, compelling businesses and individuals to seek more cost-effective and sustainable energy solutions.

Prolonging Israel-Hamas War and Escalating Geopolitical Tension across Middle East

The raging war between Israel and Hamas, a Palestine-based militant and nationalist organization, sends shockwaves across various industries, particularly oil & gas, transcending geographic boundaries and affecting businesses globally. The conflict between Israel-Hamas has been a longstanding, deeply entrenched geopolitical issue. On October 07, 2023, Hamas, in a surprise and heavy attack, struck Israel with thousands of rockets and infiltrations killing more than 1,100 people. In response, the prime minister of Israel declared war against Hamas and anticipated that the war would be ‘long and difficult.’ The United States has sent its warships and aid to Israel and stated that its citizens were killed in the war.

The prolonging war in West Asia and escalating the Middle East will affect industries across verticals and regions. Energy is one of the adversely affected industries by the war. The Middle East, including Israel, is a vital hub for oil production and transportation. Any disturbance in the Middle East region instantly raises concerns about oil supply disruptions, leading to increased oil prices worldwide. For example, oil prices increased by more than 4.5% or more than USD 4 a barrel in Asia trade on October 09, 2023. Brent crude surged USD 4.18, or about 5%, to USD 88.76 a barrel, meanwhile the US West Texas Intermediate crude was up more than 5% or USD 4.23 at USD 87.02 a barrel. This spike in oil and energy costs will have a domino effect on multiple industries. Companies in the India diesel generator market and users of diesel generators face the brunt of rising fuel prices, which significantly inflate their operational expenses. Volatile and higher diesel prices could affect the demand for diesel generators affecting their sales and market growth.

Impact of COVID-19 on India Diesel Generator Market

COVID-19 pandemic adversely affected the India diesel generator market. During the initial phases of the pandemic, economic uncertainties and lockdowns disrupted supply chains, affecting the production and distribution of diesel generators. Demand was also impacted as businesses postponed investments due to financial uncertainties. However, as the need for reliable power supply remained crucial for healthcare facilities and essential services, there was a subsequent uptick in demand for diesel generators. The market has shown resilience and adapted to the new normal with a heightened focus on remote monitoring and maintenance, reflecting the evolving role of diesel generators in a post-pandemic world.

India Diesel Generator Market

Segmental Coverage

India Diesel Generator Market – By Power Rating

By power rating, the India diesel generator market is divided into Low Power Generator, Medium Power Generator, and High-Power Generator segments. The low power generator segment held the highest share in the India diesel generator market by power rating. This dominance can be attributed to the widespread use of low-power diesel generators in various sectors, including residential, small businesses, and rural areas, where the electricity demand is comparatively lower. These generators are more cost-effective, making them accessible to a wider consumer base. Moreover, they serve as reliable backup power sources, which is crucial in a country where power outages can be frequent. As a result, the low power generator segment has maintained its leading position in the Indian market.

India Diesel Generator Market – By Portability

Based on portability, the India diesel generator market is bifurcated into Stationary and Portable segments.

India Diesel Generator Market – By Application

Based on application, the India diesel generator market is divided into Industrial, Commercial, and Residential segments. The commercial segment holds the highest share in the India diesel generator market by application. It is primarily driven by the rapid expansion of the service sector, expected to grow further. Diesel generators play a pivotal role in ensuring uninterrupted power supply within the commercial domain, encompassing hospitals, hotels, restaurants, IT hubs, and financial institutions. In FY2022, India witnessed significant contributions to Gross Value Added (GVA) from finance, real estate, and professional services, underscoring the importance of the service sector in the nation's economy. Notably, the IT and business services sector is experiencing remarkable growth and is projected to reach USD 19.93 billion by 2025. With healthcare services, particularly hospitals, increasing their reliance on diesel generators, and the government's commitment to boost public health spending, the Indian diesel generator market is poised for substantial growth in the near future.

India Diesel Generator Market – By Region

Regionally, the India diesel generator market is divided into North India, South India, East India, and West India.

Competitive Landscape

Major players operating in the India diesel generator market include AKSA Power Generation Company, Atlas Copco AB, Caterpillar, Cummins Inc., Doosan Portable Power, Generac Power System Inc., Honda India Power Products Ltd, Kohler Co., and Rolls-Royce plc. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In January 2023 - Sterling Generators, a prominent player in India's genset industry, is set to enter the EV charging infrastructure and hydrogen-based generator markets. Sterling Generators aims for significant growth in the coming years, banking on increased demand due to factors like hurricanes, the Russia-Ukraine conflict and escalating geopolitical tension in Middle East, and infrastructure development. The company is also expanding its global reach with a strategic partnership with Moteurs Baudouin, a French engine manufacturer.

Scope of the Report

By Power Rating

• Low Power Generator

• Medium Power Generator

• High Power Generator

By Portability

• Stationary

• Portable

By Application

• Industrial

• Commercial

• Residential

By Region

• North India

• South India

• East India

• West India

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. India Diesel Generator Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Increasing demand for uninterrupted power supply
         2. Expanding industrialization and urbanization
      2. Restraints
         1. High cost of diesel fuel
      3. Opportunities
         1. Rising demand for data centers and telecommunications infrastructure
      4. Challenges
         1. Environmental concerns
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. India Diesel Generator Market Overview
   1. Market Size & Forecast, 2019–2029
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Power Rating
         1. Low Power Generator
         2. Medium Power Generator
         3. High Power Generator
      2. By Portability
         1. Stationary
         2. Portable
      3. By Application
         1. Industrial
         2. Commercial
         3. Residential
      4. By Region
         1. North India
         2. South India
         3. East India
         4. West India
5. North India Diesel Generator Market
   1. Market Size & Forecast, 2019–2029
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Power Rating
      2. By Portability
      3. By Application
6. South India Diesel Generator Market
   1. Market Size & Forecast, 2019–2029
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Power Rating
      2. By Portability
      3. By Application
7. East India Diesel Generator Market
   1. Market Size & Forecast, 2019–2029
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Power Rating
      2. By Portability
      3. By Application
8. West India Diesel Generator Market
   1. Market Size & Forecast, 2019–2029
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Power Rating
      2. By Portability
      3. By Application
9. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. India Diesel Generator Company Market Share Analysis, 2022
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
10. Impact of Covid-19 on India Diesel Generator Market
11. Company Profile (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, SWOT Analysis)
    1. AKSA power generation company
    2. Atlas Copco AB
    3. Caterpillar
    4. Cummins Inc.
    5. Doosan Portable Power
    6. Generac Power System Inc.
    7. Honda India Power Products Ltd
    8. Kohler Co.
    9. Rolls-Royce plc
    10. Other Prominent Players
12. Key Strategic Recommendations
13. Research Methodology
    1. Qualitative Research
       1. Primary & Secondary Research
    2. Quantitative Research
    3.  Market Breakdown & Data Triangulation
       1.  Secondary Research
       2.  Primary Research
    4.  Breakdown of Primary Research Respondents, By Country
    5.  Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       India Diesel Generator  Segmentation

Figure 2       India Diesel Generator Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2022

Figure 4       India Diesel Generator Market Size, By Value (USD Million), 2019–2029        

Figure 5       India Diesel Generator Market Share, By Power Rating, By Value, 2019–2029

Figure 6       India Diesel Generator Market Share, By Portability, By Value, 2019–2029    

Figure 7       India Diesel Generator Market Share, By Application, By Value, 2019–2029   

Figure 8       North India Diesel Generator Market Size, By Value (USD Million), 2019–2029

Figure 9       North India Diesel Generator Market Share, By Power Rating, By Value, 2019–2029 

Figure 10     North India Diesel Generator Market Share, By Portability, By Value, 2019–2029         

Figure 11     North India Diesel Generator Market Share, By Application, By Value, 2019–2029         

Figure 12     South India Diesel Generator Market Size, By Value (USD Million), 2019–2029         

Figure 13     South India Diesel Generator Market Share, By Power Rating, By Value, 2019–2029 

Figure 14     South India Diesel Generator Market Share, By Portability, By Value, 2019–2029         

Figure 15     South India Diesel Generator Market Share, By Application, By Value, 2019–2029         

Figure 16     East India Diesel Generator Market Size, By Value (USD Million), 2019–2029

Figure 17     East India Diesel Generator Market Share, By Power Rating, By Value, 2019–2029         

Figure 18     East India Diesel Generator Market Share, By Portability, By Value, 2019–2029         

Figure 19     East India Diesel Generator Market Share, By Application, By Value, 2019–2029         

Figure 20     West India Diesel Generator Market Size, By Value (USD Million), 2019–2029

Figure 21     West India Diesel Generator Market Share, By Power Rating, By Value, 2019–2029 

Figure 22     West India Diesel Generator Market Share, By Portability, By Value, 2019–2029         

Figure 23     West India Diesel Generator Market Share, By Application, By Value, 2019–2029         

List of Tables

Table 1        India Diesel Generator Market Size, By Value (USD Million), 2019–2029

Table 2        India Diesel Generator Market Size, By Power Rating, By Value, 2019–2029

Table 3        India Diesel Generator Market Size, By Portability, By Value, 2019–2029

Table 4        India Diesel Generator Market Size, By Application, By Value, 2019–2029

Table 5        North India Diesel Generator Market Size, By Value (USD Million), 2019–2029

Table 6        North India Diesel Generator Market Size, By Power Rating, By Value, 2019–2029

Table 7        North India Diesel Generator Market Size, By Portability, By Value, 2019–2029

Table 8        North India Diesel Generator Market Size, By Application, By Value, 2019–2029

Table 9        South India Diesel Generator Market Size, By Value (USD Million), 2019–2029

Table 10      South India Diesel Generator Market Size, By Power Rating, By Value, 2019–2029

Table 11      South India Diesel Generator Market Size, By Portability, By Value, 2019–2029

Table 12      South India Diesel Generator Market Size, By Application, By Value, 2019–2029

Table 13      East India Diesel Generator Market Size, By Value (USD Million), 2019–2029

Table 14      East India Diesel Generator Market Size, By Power Rating, By Value, 2019–2029

Table 15      East India Diesel Generator Market Size, By Portability, By Value, 2019–2029

Table 16      East India Diesel Generator Market Size, By Application, By Value, 2019–2029

Table 17      West India Diesel Generator Market Size, By Value (USD Million), 2019–2029

Table 18      West India Diesel Generator Market Size, By Power Rating, By Value, 2019–2029

Table 19      West India Diesel Generator Market Size, By Portability, By Value, 2019–2029

Table 20      West India Diesel Generator Market Size, By Application, By Value, 2019–2029

Table 21      AKSA power generation company Overview

Table 22      AKSA power generation company Financial Overview

Table 23      Atlas Copco AB Company Overview

Table 24      Atlas Copco AB Financial Overview

Table 25      Caterpillar Company Overview

Table 26      Caterpillar Financial Overview

Table 27      Cummins Inc. Company Overview

Table 28      Cummins Inc. Financial Overview

Table 29      Doosan Portable Power Company Overview

Table 30      Doosan Portable Power Financial Overview

Table 31      Generac Power System Inc. Company Overview

Table 32      Generac Power System Inc. Financial Overview

Table 33      Honda India Power Products Ltd Company Overview

Table 34      Honda India Power Products Ltd Financial Overview

Table 35      Kohler Co. Company Overview

Table 36      Kohler Co. Financial Overview

Table 37      Rolls-Royce plc Company Overview

Table 38      Rolls-Royce plc Financial Overview