Adult Diaper Manufacturing Business in India: BIS IS:17015, SAP Technology, Market Demand and Investment Guide
Adult Diaper Manufacturing Business in India The adult diaper segment is one of the fastest growing consumer healthcare product segments in India, owing to the increase in the aging population, awareness about incontinence, adoption of nursing/ post-surgical care in the hospital sector and formalization of home care for the elderly and nursing. The market value is estimated at Rs 1,500-2,000 crore and is growing at a healthier rate of 20-25 percent CAGR as compared to most medical consumable categories, with India importing a large proportion of its need even though it has the infrastructure, technology and expertise to manufacture medical-grade adult diapers, SAPs (superabsorbent polymer) and packaging. According to Research published in NCBI: Urinary Incontinence Prevalence in India, there is a massively under-served domestic market as it is estimated that 20-30 percent of the elderly population in India suffers from urinary incontinence. According to WHO Global Report on Ageing and Health, access to adult incontinence products is among the most important parameters of quality of life of the ageing population of middle-income countries. Market Opportunity: Why This Business Cannot Be Ignored Multinational brands such as Kimberly-Clark’s Depend and Tena by the Essity dominate the market of diapers for adults in India, with a few organised domestic producers. The majority of the Rs 2000 crore+ growth in the market is happening in institutional channels such as hospitals and home care, where quality is the main procurement criterion of choice, per the standards set by the Bureau of Indian Standards (BIS) under the IS:17015 (Adult Diaper Specification) standard. One that is growing rapidly is hospital and home care institutional supply. The growth of national programme initiatives such as elder care and palliative care provided by NHM and the growing market of registered adult care facilities under the Ministry of Social Justice is generating huge institutional buyer markets for the quality domestic producers of certified adult incontinence products, thereby opening up government procurement channels as well as consumer retail outlets. Get Detailed Insights from This Book: Sanitary Napkins, Baby and Adult Diapers Industry Analysis: Growth Drivers and Demand Outlook The adult diaper market in India is currently Rs 1,500-2,000 crore with a growth rate of 20-25 per cent per year. According to the FICCI’s Consumer Healthcare Report, India’s adult incontinence market will swell to Rs 5,000 crore by 2030, as the ageing population of 140 million +60 years will grow at 3 per cent every year, and there is a growing awareness across the country about the management solutions available for incontinence. The PIB: India Census and Elderly Population Statistics indicates that the ageing population is growing at a compound annual rate of 3 percent and by 2050, the number of elderly people in India will be more than 300 million and one of the world’s largest ageing populations. To get private label supply to the pharmacy chains (Apollo Pharmacy, MedPlus, Wellness Forever) is an effective way to enter the market, without burdening consumer brand building costs and with access to proven retail distribution channels on institutional rates. The PMEGP scheme of MSME Ministry offers up to a maximum of 25-35 percent capital subsidy for manufacturing a new manufacturing unit in the consumer healthcare product manufacturing sector, which brings down the net equity required for a new manufacturing unit by an adult diaper manufacturing entrepreneur. India’s consumer healthcare market is expanding at more than 15 percent per year and among the fastest-growing sub-categories are products for elder care and incontinence management, according to the IBEF: India Consumer Healthcare Market. India Adult Diaper Market Overview Parameter Market Data Notes India Adult Diaper Market Value Rs 1,500 – 2,000 crore Industry estimates Market Growth Rate 20-25% CAGR Ageing population and care awareness India Population Aged 60+ 140+ million people Growing at 3% annually BIS Standard IS:17015 (Adult Diaper Specification) Mandatory for institutional supply Core Technical Ingredient SAP (Superabsorbent Polymer) 250-300g/m2 in absorbent core Key Market Segments Hospital, nursing home, home care, retail Multiple buyer channels Market Leaders Kimberly-Clark, Tena, Romsons, Nobel Hygiene Domestic brands growing How to Start: Step-by-Step Guide for Entrepreneurs Step 1: Business Setup and BIS IS:17015 Certification Dedicate entity, get Udyam MSME registration, and factory licence and GST. Request the BIS IS:17015 (Adult Diaper) Certificate which is required for hospital / medical institution supply. The absorbency under pressure, acquisition time, rewet, pH and odour parameters are specified in IS:17015. No CDSCO Device Licence for incontinence management (wound care) diapers. Step 2: Technology: SAP Core and Absorbent Layer Design Adult diapers feature a superabsorbent polymer (SAP) core that absorbs urine 30 times its weight, surrounded by absorbent fluff pulp, and topped with a top sheet (nonwoven) and backed by a breathable PE or PP film. Absorbency capacity is dependent on SAP concentration (250 – 300 g/m2). Forging R&D partnership with domestic supplier of SAP (Nippon Shokubai India, SDP Global / imported specialty polymer distributors). The Wikipedia: Adult diaper encompasses international technology standards for adult incontinence products, such as SAP concentration, acquisition time and rewet performance. Get Detailed Insights from This Book: Our Books Step 3: Production Line: Diaper Converting Machine An integrated diaper converting machine is utilized for the production of adult diapers, which combines the process of creating the fluff pulp-SAP core, attaching top sheet and backsheet, adding leg cuffs, applying elastic waist bands, applying adhesive fastening tapes, cutting and folding into individual pads into one process. The typical production rate of an adult diaper machine is 200-400 per minute. Investment: Rs. 1-3 crore for a simple converting machine, which can be purchased from Chinese or European suppliers. Step 4: Product Range: Tape Style and Pull-Up Style Tape-type adult diapers (adhesive tabs) are used by bedridden patients at a hospital or nursing home. Pull-up adult diapers (underwear style, stretch panels) are used by ambulatory incontinent adults in home care and retail pharmacy. Pull-ups are retail priced at Rs 40-80 per piece, growing faster as retail awareness is increasing, compared to tape-style which is priced at Rs 25-50 per piece. Step 5:
