DDev Plastiks Industries Ltd Management Discussions

ECONOMIC OVERVIEW GLOBAL ECONOMIC REVIEW

The global economy in Calender Year (CY)2025 proved resilient, with growth holding at 3.4%, despite ongoing trade tensions and elevated policy uncertainty through the year. However, this momentum was interrupted in early 2026 by the escalation of the conflict in the Middle East, which has emerged as the dominant n ear-term risk to the global outlook.

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Outlook

Looking ahead, the global economic outlook remains clouded by the conflict in the Middle East and the risk of its escalation, prolonged duration or geographical expansion. Assuming the conflict remains contained, global growth is projected to moderate to 3.1% in CY2026 before recovering modestly to 3.2% in CY2027, remaining below both the pre-conflict trajectory and the historical (2000-2019) average of 3.7%. Downside risks continue to dominate the outlook, with prolonged geopolitical tensions, deeper global fragmentation, renewed trade restrictions and weaker-than- expected productivity gains from artificial intelligence posing significant risks to global g rowth and financial stability.

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economic-outlook-ao ril-2026

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Emerging market and developing economies are expected to bear a disproportionate share of the slowdown, with growth moderating to 3.9% in CY2026 from 4.4% in CY2025, before recovering to 4.2% in CY2027, reflecting relatively persistent inflationary pressures com pared with advanced economies.

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economic-outlo ok-aoril-2026

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Global GDP Growth Rate (%)

Global headline inflation continued easing through 2025, reaching an estimated 4.1%, before the conflict is expected to push inflation back up to 4.4% in CY2026 - a departure from the disinflation trend of the previous two years - before moderating to 3.7% in CY2027. The slowdown in growth and the pickup in inflation are expected to affect emerging market and developing economies more significantly, particularly commodity-im porting nations with limited fiscal buffers.

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3.4 3.1 3.2 1.9 1.8 1.7 4.4 3.9 4.2

999 999 999

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CY 2025 CY 2026* CY2027*							CY 2025 CY 2026* CY2027*				CY 2025 CY 2026* CY2027*

World Output Advanced Economies Emerging Market &

Developing Economies

https://www.imf.org/en/publications/weo/issues/2026/04/14/world-economic-outlook-april-2026

INDIAN ECONOMY

Indias economy expanded by a provisional 7.7% in FY2025- 26, accelerating from 7.1% in FY2024-25, reflecting broad- based domestic economic strength despite heightened global uncertainty. Growth was supported by robust private consumption and sustained investment activity, with both Private Final Consumption Expenditure (PFCE) and Gross Fixed Capital Formation (GFCF) recording growth in excess of 7.5% during the year. The economy also demonstrated resilience despite higher crude oil prices, rupee depreciation and the escalation of geopolitical tensions in the Middle East.

httns://www.mosni.aov.in/unloads/latestReleases/latest- release-1780655857536- 5ac01869-ca4a-422d-b7a7-57b81da60932- Press Note on GDP Fstimntes for Q4 7075-76 and PF FY 202526 F.pdf

Inflation remained largely contained during FY2025-26, supported by easing food prices and favourable domestic supply conditions for most of the year. However, inflationary pressures re-emerged towards the end of the year following higher food prices and escalating geopolitical tensions. Headline CPI inflation rose to 3.40% in March 2026 and 3.48% in April 2026, primarily due to higher food inflation, with food prices (CFPI) climbing to 3.87% in March and 4.20% in April.

https://static.pib.gov.in/WriteReadData/specificdocs/

documents/Rs0Rs6/apr/docRs0Rs6415845701.pdf

https://www.mospi.gov.in/uploads/PressRelease/CPI%20Press%20

Release%20of%20April%202026.pdf

Domestic manufacturing activity continued to benefit from a favourable investment climate and the Governments Make in India initiative, supporting the expansion of specialised manufacturing sectors. FDI inflow in FY2024-25 reached USD 80.62 billion, the highest in three years, while first-half

FY2025-26 inflows of USD 50.36 billion (provisional) marked a 16% increase over the same period last year - the highest ever for a first half - with manufacturing continuing to be eligible for 100% FDI under the automatic route.

httns://www.nib.aov.in/PressReleasePaae.asnxRsPRID=2197654

Outlook

The outlook for the Indian economy has moderated compared with the previous year. In its April 2026 Monetary Policy Statement, the Reserve Bank of India projected FY2026- 27 GDP growth at 6.9%, citing elevated energy and other commodity prices, as well as shocks to input availability arising from disruptions in the Strait of Hormuz amid the Middle East conflict, as likely to weigh on growth in the year ahead. Nevertheless, high-frequency indicators suggest that domestic demand has remained resilient, supported by healthy private consumption, sustained investment activity, continued strength in the services sector and stable labour market conditions.

httns://www.indiabonds.com/bonduni/news/anril-2026-rbi-monetarv-

Dolicv-hiahliahts/

httns://www.rhi.nrg.in/Scrints/RS PressReleasenisnlay. asnxRsnrid=62863

The Governments continued fiscal consolidation - with the fiscal deficit narrowing to 4.4% of GDP in the FY2025-26 Revised Estimates and budgeted to moderate further to 4.3% in FY2026-27 - alongside sustained public capital expenditure, is expected to provide continued support to economic growth despite persistent external headwinds.

httns://www.indiabudaet.aov.in/doc/bh1.ndf

httns://www.nib.aov.in/PressReleasePaae.asnxRsPRID=2221455 GDP Growth Trend in India (%) 7.1

7.7

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httns://www.rbi.ora.in/Scrints/BS-PressReleaseDisnlav.asnxRsnrid=62863 INDUSTRY OVERVIEW

GLOBAL POLYMER COMPOUNDING INDUSTRY

European plastics production reached 54.6 million tonnes in 2024, while global plastics production reached 430.9 million tonnes, up 4.1% year-on-year, with Asia accounting for 57% of world output and China alone contributing 35%.

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Within this base, the global plastic compounding market - where base polymers are blended with additives, fillers and reinforcements to meet specific performance needs - is estimated at USD 82.2 billion in 2026 and is projected to reach USD 133.7 billion by 2033, at a CAGR of 7.2%, driven by increasing substitution of metals, wood, glass and rubber with plastic across automotive, construction, packaging and electronics. Demand continues to be anchored by the automotive and construction industries, with Asia Pacific remaining the largest regional market.

httDs://www.arandviewresearch.com/industry-analysis/nlastic-

comnoundina-market

Polymer by Product

Within the global plastic compounding market, polypropylene (PP) is the largest product segment, holding about 30.4% share in 2025, followed by polyethylene (PE) at about 20.4% - together the two commodity polymers account for roughly half of global compounding revenue.

httns://www.arandviewresearch.com/industry-analysis/nlastic-

comnoundina-market

By comparison, in European plastics production specifically (a narrower, region-specific measure distinct from the global compounding-market figures above), PP accounted for 19% of output in 2024, followed by PE-LD/LLD (14%) and PE-HD/MD (12%); PVC made up a further 13%.

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Beyond commodity resins, the global engineering plastics market is valued at USD 107.17 billion in 2025 and is projected to reach USD 130.98 billion by 2030, at a CAGR of 4.1%. Within the broader flame-retardant additives space, non- halogenated chemistries account for over 59% of total market

$230.9 Billion $240.4 Billion

Market Size (2025) Market Estimate, 2026

revenue, in a global market valued at USD 7.6 billion in 2022 and projected to reach USD 13.7 billion by 2032, at a CAGR of 6.3%, as fire-safety codes tighten; Asia Pacific holds the largest regional share at 46%.

httDs://www.marketsandmarkets.com/Market-Renorts/enaineerina- nlastics-market-687.htmlRsutm source=nrnewswire.com&utm medium=naidnr&utm cnmnnian=enaineeringnlnsticsmnrket

httns://mnrket.us/nress-relense/flnme-retnrdnnt-mnrket/

Polymer by Application

Automotive and packaging were the leading applications in 2025, holding 25.4% and 18%+ shares respectively. PP and PET compounds dominate automotive uses like bumpers, body parts, and grilles for their light weight, stiffness, and impact resistance, aided by emission and weight-reduction regulations. In packaging, PP and PE are favored for cost- effectiveness, flexibility, and impact strength, driven by high consumption in China, India, the U.S., and Europe.

httns://www.arandviewresearch.com/industry-analysis/nlastic-

comnoundinq-market

Polymer by Region

Asia Pacific dominated the global plastic compounding market with a 45.8% revenue share in 2025, aided by rising manufacturing output, e-commerce growth and favourable d emographics across China, India, Thailand, Indonesia, Vietnam and Malaysia; Europe held above 21.0% share as of 2023.

httns://www.arandviewresearch.com/industry-analysis/nlastic-

comnoundina-market

GLOBAL WIRE AND CABLE INDUSTRY

the global wires and cables market was valued at USD 230.9 billion in 2025 and is projected to reach USD 313.2 billion by 2033, growing at a CAGR of 3.8% from 2026 to 2033. Low- voltage cables remained the largest segment by revenue, accounting for a 43.55% share in 2025, while the extra-high- voltage segment is expected to register the fastest growth over the forecast period. Growth continues to be driven by rising economic activity and urbanisation, which are fuelling infrastructure and construction spending, alongside expanding demand from the residential, commercial, telecom, automotive, energy, and power sectors. The development of smart cities is also expected to lift demand for power, telecom, and optic-fibre cables in the years ahead.

$313.1 Billion 3.8%

Market Forecast, 2033 CAGR, 2026-2033 https://www.arandviewresearch.com/industrv-analvsis/wire-and-cable-market-analvsis-market

Wires And Cables Market

Size, by Voltage, 2023-2033 (USD Billion)

Market Size (USD Billion)

0.0

¦ Low Voltage (LV) ¦ Medium Voltage (MV) ¦ High Voltage (HV) ¦ Extra-High Voltage (EHV)

Asia Pacific was the largest revenue-generating region in the global wires and cables market, while North America accounted for approximately 17.7% of global market revenue, with Canada expected to register the highest regional CAGR through 2030.

Key Growth Drivers

Urbanisation & Infrastructure Development:

Rising economic activity and rapid urbanisation continue to drive growth in infrastructure and construction spending, a core demand driver for wires and cables.

Diversified End-use Demand

Demand from the residential, commercial, telecom, automotive, energy, and power sectors is leading to expansion and upgradation of infrastructure, supporting overall market growth.

Smart Cities & Digital Connectivity

The development of smart cities and expanding infrastructure are expected to increase demand for power, telecom, and optic-fibre cables.

Extra-High-Voltage (EHV) Segment

Within the voltage segment mix, EHV cables are expected to be the most lucrative and fastest-growing category over the forecast period.

The global wires and cables industry is expected to sustain steady growth through the medium term, supported by continued urbanisation, infrastructure investment, and rising demand across power, telecom, and industrial end-use segments.

GLOBAL WIRE AND CABLE COMPOUNDS INDUSTRY

2026 - 2034

Forecast Period

5.04%

CAGR (2026-34)

Asia Pacific

Leading Region (2026)

The global wire and cable compound market size was valued at USD 15.95 billion in 2025 and is projected to grow from USD 16.75 billion in 2026 to USD 24.83 billion by 2034, at a CAGR of 5.04% during the forecast period 2026-2034. Wire and cable compounds are used to manufacture wires and cables with excellent durability, outstanding chemical and corrosion resistance, high mechanical stability, flexibility, and abrasion resistance. Many of these compounds are designed for specific end uses, such as high- and low-voltage power cables, telecommunications, telephone wires, coaxial cable, and jacketing, with flame-retardant properties required for several formulations.

USD 15.95 Billion	USD 16.75 Billion	USD 24.83 Billion
Market Size (2025)	Market Size (2026)	Projected Market Size (2034)

Source: Straits Research, Wire and Cable Compound Market (last updated 25 May 2026). Key End-use Applications

End-use Application	fl Description !
High & Low Voltage Power Cables	Compounds providing insulation and mechanical stability for power transmission and distribution
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Telecommunications & Telephone Wires -	Insulating and jacketing compounds supporting signal integrity and durability
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Coaxial Cable	Specialised compounds for shielding and consistent signal transmission
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Cable Jacketing	Protective outer-layer compounds offering abrasion, chemical, and corrosion resistance
::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::: o
Flame-Retardant Formulations	Required for several wire compositions to meet safety standards

Outlook

The global wire and cable compound market is expected to sustain steady growth through 2034, supported by continued demand from the power, telecommunications, and industrial cabling segments. Asia Pacifics continued dominance, combined with rising safety and performance requirements across end-use applications, is expected to remain a key structural driver for the industry over the forecast period.

GLOBAL CROSS-LINKED POLYETHYLENE (XLPE) MARKET

The global XLPE market is estimated at USD 10.12 billion in 2026 and is projected to reach USD 13.26 billion by 2031, at a CAGR of 5.56%. Asia Pacific accounted for 47.52% of the market in 2025. However, the cable-application segment - XLPEs largest and most strategically relevant end-use - is growing meaningfully faster than the base material market: the global XLPE cables market is projected to grow at a CAGR of 7.3% from 2026 to 2030, driven by increasing adoption of renewable energy sources and infrastructure development. India alone aims to increase installed power generation capacity from 427 GW in 2026 to 900 GW by 2030, creating substantial opportunities for the cable and wire industry.

Cross-Linked Polyethylene (XLPE) Market

Market Size in USD Billion CAGR 5.56%

USD 13.26 B

USD 10.12 B Tk

2026

2031

https://www.verifiedmarketreports.com/ product/xlpe- httDs://www.mordorintelliaence.com/industrv-reDorts/cross-linked-

cables-market/ polvethylene-xlpe-market

Benefits of XLPE in Cable and Wire Industry

Reliability and lower lifetime cost -

XLPEs higher continuous operating temperature (around 90 deg C, versus 65-70 deg C for standard polyethylene) allows cables to carry higher current loads without derating.

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Enabling higher-voltage, higher-value projects -

XLPEs higher continuous operating temperature (around 90 deg C, versus 65-70 deg C for standard polyethylene) allows cables to carry higher current loads without derating.

httDs://www.nkt.com/Droducts-solutions/hiah-voltaae-cable-solutions/innovation/640-kv-extruded-hvdc-cable-svstems

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Meeting tightening fire-safety codes -

Cable-grade halogen-free formulations are increasingly specified to satisfy IEC standards governing flame propagation (IEC 60332), acid-gas emission (IEC 60754) and smoke density (IEC 61034) in confined public spaces such as malls, metro stations and hospitals.

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Lower maintenance and replacement risk -

Tree-Retardant XLPE (TR-XLPE) continues to be refined to resist water-tree formation, the leading cause of long-term insulation failure in buried medium-voltage cables.

httDs://www.wireamerica.com/bloas/wire-cable-alossarv/what-is-tr-xlDe-insulation-tree-retardant-cable-auide

GLOBAL HFFR MARKET

The global HFFR (Halogen Free Flame Retardant) market size was valued at USD 12.8 billion in 2025 and is estimated to reach USD 22.6 billion by 2034, exhibiting a CAGR of 6.5% from 2026 to 2034. The market represents a critical segment within the broader chemical and materials industry, encompassing flame-retardant compounds designed to inhibit or resist the spread of fire without relying on halogen-based chemicals such as bromine or chlorine, which are associated with toxic emissions during combustion.

USD 12.8 Billion	USD 22.6 Billion
Market Size (2025)	Market Size (2026)
2026 - 2034		6.5%		Asia Pacific
Forecast Period		CAGR (2026-34)		Leading Region (2026)

https://www.verifiedmarketreDorts.com/Droduct/hffr-haloaen-free-flame-retardant-market/

Regional Landscape

China leads the regional landscape, valued at USD 2.8 billion in 2025 and projected to reach USD 4.5 billion by 2033 (-6.8%, CAGR), followed by the United States at USD 1.3 billion in 2025, growing to USD 2.1 billion by 2033 (-6.5% CAGR). Germany, the United Kingdom, Japan, and South Korea each range between USD 0.7-1.2 billion in 2025, with CAGRs of approximately 6.0-6.2% through 2033. Asia Pacific is expected to remain the largest and fastest-growing region overall, led by Chinas electronics and construction sectors.

Key Applications

Electrical & Electronics

Largest end-use segment; fire safety in wiring, cables, circuit boards, and enclosures

Wires & Cables

Halogen-free insulation and jacketing for power, telecom, and data cables

Transportation

Fire-safe wiring, battery enclosures, and interior components, especially for EVs

Building & Construction

Fire-resistant insulation, wiring, and building panels for green-certified structures

Textiles

Flame-retardant treatment for upholstery, curtains, and protective clothing

Growth Opportunity: Infrastructure & Regulatory Tailwinds

Beyond market growth, HFFR demand is being driven by increasingly stringent fire safety regulations and rising investments in critical infrastructure, creating strong opportunities for the Companys cable compounds business.

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Fire Safety Regulations: Indias Cables (Quality Control) Order, 2020 and IS 17048:2018 mandate BIS-certified HFFR cables. The National Building Code (NBC) 2016 also promotes halogen-free, low-smoke cables for safety-critical infrastructure such as hospitals, airports, metro tunnels, data centres, and high-rise buildings

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Metro Rail: Rapid expansion of metro networks across cities such as Mumbai and Bengaluru is driving demand for fire- resistant cables compliant with IS 1554, supported by growing investments in underground transport infrastructure

Commercial Buildings & Smart Cities: Smart city initiatives and urban infrastructure projects are increasingly prioritising fire-safe electrical systems, while global regulations continue to encourage the adoption of halogen-free cables across public infrastructure

The HFFR market is expected to sustain steady growth through 2034, driven by tightening fire-safety regulations, rising electric vehicle and renewable energy adoption, and continued innovation in bio-based and nanotechnology-enabled formulations. Asia Pacific is expected to strengthen its position as the largest regional market, while North America and Europe continue to lead on regulatory-driven adoption of halogen-free solutions.

HIGH VOLTAGE (HV) / EXTRA HIGH VOLTAGE (EHV) CABLE OPPORTUNITY

HV/EHV Cable Opportunity

USD 56.26 B

High Voltage Cables Market

Market Size in USD Billion

The high voltage cables market, valued at USD 39.85 billion in 2026, is on track to reach USD 56.26 billion by 2031 - a 7.14% CAGR, as per Mordor Intelligence. But the real opportunity sits below the headline number: growth is skewed sharply toward two segments. High Voltage Direct Current(HVDC), though still a minority of transmission-type revenue, is growing at an 8.1% CAGR versus High Voltage Alternating Current(HVACs) mature, stable base; and cables above 330 kV - the EHV band - are expanding even faster, at 8.8% CAGR, outpacing the 115330 kV segment that currently dominates by volume. In short, the market is growing at approximately 7%, but its highest- value corridors are growing 15-25% faster than that average.

Geographically, Asia-Pacific already commands 40% of global demand and is compounding at 9.6% - nearly 2.5x the global rate - on the back of transmission build-out in China, India, and ASEAN. That combination - a fast-growing region investing disproportionately in the fastest-growing technology and voltage tiers - is where the structural opportunity concentrates.

httDs://www.mordorintelliaence.com/industrv-reDorts/hiah-voltaae-cables-market

INDIAN POLYMER COMPOUNDING INDUSTRY

The India plastic compounding market is estimated at USD 4,797.0 million in 2025, rising to USD 5,268.4 million in 2026, and is projected to reach USD 9,945.3 million by 2033, growing at a CAGR of about 9.5% - with polypropylene (PP) the largest product segment, holding about 31% revenue share in 2025.

$4.80 Bn	$9.95 Bn	9.5%
MARKET SIZE (2025)	FORECAST (2033)	CAGR (2026-2033)

https://www.arandviewresearch.com/horizon/outlook/plastic-compoundina-market/india

https://www.pib.gov.in/PressReleasePage.aspxRsPRID=2197654

Key Growth Drivers

Make in India & infrastructure push:

Rising government spending on infrastructure and manufacturing, along with approval of 100% FDI in several segments, is spurring end-use demand across general industry, consumer goods, and automotive.

Urbanization & rising incomes:

Growing urbanization, increasing per-capita income, and heightened environmental and health consciousness are lifting demand for compounded plastics across packaging, consumer durables, and construction applications.

Electric vehicle & light-weighting adoption:

OEMs are increasingly specifying engineered polymer compounds in place of metal for battery enclosures, connectors, and structural components, reducing vehicle weight and extending EV range.

I PLI-led capacity build-out:

Production Linked Incentive schemes for specialty polymers and electronics manufacturing are accelerating domestic capacity addition and localisation, reducing reliance on imported compounds.

Electronics & smart-city led demand:

Expanding electronics assembly and Smart Cities projects are driving consumption of flame-retardant and high-performance compounds in appliances, wiring, and building infrastructure.

Outlook

The Indian polymer compounding industry remains positive, driven by manufacturing localisation, EV-led light-weighting demand, PLI-backed electronics growth, and sustained infrastructure and housing activity. While import dependency for specialty resins remains a near-term constraint, continued domestic capacity build-out should support well-positioned compounders in capturing rising value-added demand.

$23.13 Bn	$35.58 Bn	9.01%
MARKET SIZE (2026)	FORECAST (2031)	CAGR (2026-2031)

USD 35.58 B

India Wire and Cable Market

Market Size in USD Billion

INDIAN WIRE AND CABLES INDUSTRY

The Indian wires and cables industry - the principal end-use market for the Companys polymer compounds - is in a phase of sustained, structural expansion. The market is estimated at USD 21.22 billion in 2025, rising to USD 23.13 billion in 2026, and is projected to reach USD 35.58 billion by 2031, at a CAGR of about 9% - materially faster than the global market. By end- user, consumer applications held about 69% of 2025 revenue, while IT & telecom is growing fastest at about 10% CAGR; fibre-optic cables are forecast to grow fastest by cable type at about 12% CAGR.

https://www.mnrrinrintellinenne.nnm/inriustry-rennrts/inriin-wire-nnri-nnhle-mnrket Key Highlights

q Demand convergence:

Housing demand, renewable-energy targets, and rapid telecom upgrades are converging to keep large-volume orders flowing to cable makers, while mandatory BIS certification is nudging buyers toward organized suppliers.

q Utility-scale renewables:

Utility projects linked to the governments pledge of 500 GW of non-fossil capacity by 2030 are creating multi-year procurement pipelines for extra-high-voltage (EHV) products.

Digital infrastructure buildout:

5G fiberisation and data-center corridors are expanding the addressable market for low-loss optical-fiber cables, with communication cables projected to outpace all other categories at a 12.38% CAGR to 2031.

Consumer-led, B2B-accelerating mix:

Consumer applications held 69.40% of 2025 revenue, whereas IT & telecom demand is rising fastest at a 9.92% CAGR to 2031 - signalling a gradual rebalancing toward diversified industrial demand.

Input-cost sensitivity:

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Copper accounted for the majority of market revenue in 2025; volatile copper and aluminium prices remain a key margin risk, prompting hedging and greater use of scrap-based and aluminium-alloy inputs.

Regional concentration:

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Maharashtra, Gujarat, Tamil Nadu, and Uttar Pradesh are expected to lead the market on the back of robust industrial bases and high construction activity.

Key Growth Drivers

Driver Relevance to Industry

Residential & commercial 600,000 new urban homes completed in 2023; premium projects driving higher cable real estate completions value per dwelling

5G fiberisation & datacenter growth

Utility-scale renewable energy build-out

Installed renewable capacity reached 217.62 GW by January 2025, requiring extensive EHV/ DC cabling

Only 35% of Indias 4.69 lakh 5G base stations are fiberised, leaving significant headroom for optical-fiber demand

Rural electrification Targeting the final 12 million unelectrified rural homes, boosting aluminium-

(Saubhagya 2.0) conductor demand

Government infrastructure push

National infrastructure investment and smart-city programmes sustaining B2B demand

Outlook

The wires and cables industry remains firmly positive, anchored in Indias continuing shift toward renewable energy integration, grid modernisation, and digital infrastructure expansion. Demand is expected to increasingly tilt toward fiber-optic, communication, and extra-high-voltage cables as 5G rollout, data-center buildout, and utility-scale renewable projects gather pace, even as traditional housing and construction-led demand continues to provide a steady base. Rising BIS enforcement should further formalize the market, favouring certified, organized players over unorganized competition, while input-cost volatility in copper and aluminium remains the key variable to watch. For compound suppliers, this points to sustained, diversified demand across product categories over the medium term.

INDIAN WIRE & CABLE COMPOUNDS INDUSTRY

As per IndexBox, Indias wire compounds and cable compounds market is estimated at USD 1.8-2.2 billion in 2026 (650,000

2027- metric tonnes), growing at an 8-10% CAGR to reach USD 4.0-5.0 billion by 2035. Growth is supported by infrastructure electrification, the PLI scheme for electronics and automotive, and rising per capita electricity consumption. USD 1.8 - 2.2 Billion	650,000 - 800,000 Metric Tonnes	USD 4.0 - 5.0 Billion
Market Size (2026)	Volume Consumption (2026)	Projected Market Size (2035)

1.3 - 1.6 Million Metric Tonnes	8-10%	7-9%
Projected Volume (2035)	Value CAGR (2026-35)	Volume CAGR (2026-35)

Source: IndexBox, Wire Compounds and Cable Compounds Market in India (published 1 May 2026).

17.21%

CAGR (2026-2031)

$198.88 Bn

FORECAST (2031)

Key Highlights

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Product Mix:

Thermoplastic compounds (PVC, PE) hold 65-70% of volume, while engineering-grade materials (HFFR, LSZH, TPE) grow faster at 10-12% annually on tightening fire-safety norms

Import Dependence:

India remains a net importer, with imports at 25-30% of market value in 2026, concentrated in specialty flame-retardant additives

Localisation & XLPE:

Rising XLPE adoption for MV/HV cables and growing multinational compounding capacity in India are shifting the market up the value curve

The industry is expected to sustain healthy double-digit value growth through 2035, driven by electrification and a shift toward fire-safety-compliant formulations, even as import dependence for specialty additives remains a structural watch-item.

The Company is strategically moving up the value curve by strengthening its capabilities in higher-voltage applications, including its focus on 132 kV compounds and its roadmap towards 220 kV solutions. This transition is expected to progressively enhance the Companys premium product mix, deepen its presence in high-value applications and enable it to capture emerging opportunities in the evolving wire and cable compounds market.

GLOBAL BATTERY ENERGY STORAGE (BESS)

The global Battery Energy Storage System (BESS) market is moving from a niche grid-reliability tool to mainstream energy infrastructure. The market is expected to grow from USD 76.69 billion in 2025 to USD 89.89 billion in 2026 , and reach USD 198.88 billion by 2031 , expanding at a 17.21% CAGR over 2026-2031. Growth is being propelled by rapid cost declines in lithium-ion cells, supportive procurement mandates, and rising grid-modernization spending, with policy tailwinds such as the U.S. Inflation Reduction Act and the EU Net-Zero Industry Act anchoring multi-gigawatt project pipelines.

$89.89 Bn

MARKET SIZE (2026)

Source: Mordor Intelligence - Battery Energy Storage System Market Size & Share Analysis (2026-2031).

Large-scale procurement tenders - from Californias 2 GW long-duration solicitation to PowerChinas 16 GWh award - are giving developers bankable revenue visibility, while solar-plus-storage has already hit cost parity in markets like Australia and Chile. The outlook stays firmly double-digit through 2031, though fire-safety compliance and critical-mineral supply constraints remain watch-items.

INDIAN BATTERY ENERGY STORAGE (BESS)

Indias BESS market is entering a high-growth phase. Valued at USD 1.54 billion in 2025, the market is projected to climb to USD 2.05 billion in 2026 and reach USD 8.59 billion by 2031, growing at a CAGR of 33.2%. This surge is being driven by the countrys aggressive renewable energy push, the need for grid stability as intermittent solar and wind capacity scales up, and a wave of supportive government policy.

India Battery Energy Storage System (BESS) Market

Market Size in USD Billion

USD 8.59 B

Indias energy storage market is entering a rapid growth phase, driven by the countrys target of 47 GW of storage capacity by 2030, compared with less than 1 GW installed in early 2024. Declining battery costs, supportive government policies, and increasing renewable energy integration are accelerating adoption. The PLI Scheme (INR 18,100 crore), VGF support of up to 40% for standalone BESS projects, and rising Energy Storage Obligations (ESO) are strengthening the investment landscape.

While lithium-ion batteries account for over 92% of the market and utility-scale on-grid projects dominate deployments, the fastest growth is emerging from off-grid, commercial & industrial, and large-scale (>500 MWh) storage projects, highlighting the broadening scope of Indias energy storage ecosystem. and remains Indias largest and leading manufacturer of Cross-Linked Polyethylene (XLPE) compounds. Its product line has further expanded to include Halogen- Free Flame Retardant (HFFR) compounds and High Voltage Polyethylene (PE)-based cable compounds. A sixth manufacturing unit - a new XLPE facility in Rajasthan - was commissioned in April 2026 and will be reflected in the Companys results from 1QFY27 onwards.

About the Company

Ddev Plastiks Industries Limited is one of Indias largest manufacturers of polymer compounds, with a legacy spanning over four decades. As of March 2026, the Company had an installed capacity of 2,68,400 metric tonnes per annum (MTPA) and a diverse portfolio of 200+ compounds, with a footprint across 55+ countries. The Company operated five manufacturing units as of March 2026, equipped with cutting-edge R&D facilities, infrastructure and technology,

COMPANY OVERVIEW

55+ COUNTRIES	6
Geographical Presence	Manufacturing Units

Product-wise Operational Performance

Product wise, the Company is engaged in manufacturing the following products, the performance of which is discussed below:

Poly Vinyl Chloride (PVC):

Widely used across electrical wiring, construction, footwear manufacturing and automotive sectors. PVC accounted for 11% of FY26 revenue from operations supported by the Companys new 15,000 MT PVC facility commissioned in October 2025 and a further 10,000 MT commissioned in December 2025, taking installed PVC capacity to 69,000 MTPA by year-end.

Polyethylene (PE) / Sioplas / XLPE / Semicon:

Utilised across wire and cable insulation, high-voltage cable compounds, and construction applications. This category accounted for approximately 72% of FY26 revenue from operations, corroborated by the Companys production-volume data showing XLPE at 72% of total FY26 production volume (up from 55% in FY21), and by the commissioning of an additional

2027, MTPA of XLPE capacity from April 2026 (Q1FY27).

Others (Antifab, Engineering Plastics, HFFR):

Includes masterbatches, polycarbonate and engineering plastic compounds, used in packaging, white goods and consumer electronics. This category accounted for 18% of FY26 revenue from operations.

Company Performance

O The Company achieved its highest-ever revenue of Rs 2,948 Cr in FY26, up 13% year-on-year, with EBITDA of Rs 320 Cr (11% margin) and PAT of Rs 202 Cr (7% margin), up 9% year-on-year.

O Total installed capacity utilisation stood at 75% in FY26, with capacity scaled to 2,68,400 MTPA across five strategically located plants on Indias east and west coasts as of March 2026.

O The Company remained net debt-free through FY26 (Net Debt/EBITDA and Net Debt/Equity both at 0.0x), maintained its CRISIL A+/Stable long-term and CRISIL A1+ short-term credit ratings, and commissioned 5,000 MT of HFFR and 10,000 MT of PVC capacity in December 2025 (Q3FY26), followed by 48,000 MTPA of XLPE capacity in April 2026 (Q1FY27).

O The Wire & Cable segment remained central to performance, contributing 61% of FY26 revenue, with export volumes growing 23% year-on-year despite disruption from the Israel-Iran conflict (from late February 2026) affecting export transit and raw material availability.

Financial Highlights

Particulars	FY 2025-26	FY 2024-25
Gross Turnover	2,94,787.27	2,60,332.37
PBIDT	32,031.00	28,697.00
Profit Before Tax	27,400.00	25,064.30
Operating Profit	30,247.33	27,193.58
Equity Share Capital	1,034.77	1,034.76

Key Financial Ratio

Particulars	FY26	FY25	Change	Reason
Debtors Turnover Ratio	5.78	6.02	(0.24)	-
Debt Equity Ratio	0.06	0.06
Current Ratio	2.70	3.01	(0.31)	-
Interest Coverage Ratio	10.49	12.48	(1.99)	-
Debt Service Coverage Ratio	10.32	12.80	(2.48)	-
Stock Turnover Ratio	9.30	11.63	(2.33)	-
Return on Equity (ROE) (%)	20.00	24.82	(4.82)	Increase in shareholders equity due to retained earnings resulted in a lower ROE.
Operating Profit Margin (%)	9.12	9.76	(0.64)	-
Net Profit Margin (%)	6.85	7.13	(0.28)	-

Export Opportunities

The Companys export performance remained resilient in FY26, with export volumes growing 23% year-on-year even amid transit disruption arising from the Israel-Iran conflict, reflecting the growing acceptance of Ddev Plastiks products in international markets. Going forward, the Company is well positioned to capture emerging export opportunities across several geographies:

China+1 Sourcing

Global cable and wire manufacturers are increasingly diversifying their supply chains away from China, creating an opportunity for the Company to position itself as a preferred alternate sourcing partner for polymer compounds.

Increasing Acceptance of the Indian Cable Ecosystem

Growing recognition of Indian wire and cable manufacturers in overseas markets, supported by consistent quality and regulatory compliance, is enhancing demand for Indian-origin cable compounds.

Growth in the Middle East

Large-scale investments in infrastructure, power transmission and renewable energy across the Middle East are driving incremental demand for high-quality cable compounds

Africa Electrification

Expanding electrification programmes across African economies present a long-term growth opportunity for cable compound suppliers with proven quality credentials.

Southeast Asia Infrastructure

Robust infrastructure and urbanisation-led investments across Southeast Asian economies are expected to support incremental demand for the Companys export portfolio.

Key Competitive Advantages

The Companys competitive positioning is underpinned by the following key strengths:

Largest XLPE Compound Manufacturer in India ^

The Company is Indias largest and leading manufacturer of Cross-Linked Polyethylene (XLPE) compounds, a segment that accounted for approximately 72% of FY26 revenue from operations.

Long-standing Approvals from Leading Cable Manufacturers

- qo -

The Company holds well-established, long-standing product approvals from Indias leading cable manufacturers, reinforcing customer stickiness and repeat business.

Product Qualification Cycles Create Entry Barriers

- OO

Extensive and time-intensive product qualification processes required by customers act as a natural barrier to entry, protecting the Companys market position against new entrants.

Customer-specific Technical Formulations

- 0-0 -

Customised, technically differentiated formulations developed for specific customer applications strengthen relationships and reduce switching risk.

Large Installed Capacity ^

With an installed capacity of 2,68,400 MTPA as of March 2026 across six manufacturing units, the Company is well positioned to service large-volume, diversified demand.

R&D Capabilities

- 0-0 -

A dedicated, world-class R&D infrastructure, supported by joint research initiatives with institutes such as IIT Kharagpur and UICT Mumbai, drives continuous product innovation.

Net Debt-free Balance Sheet

- OO

The Company has remained net debt-free since 4QFY24, providing significant financial headroom to fund future growth and capacity expansion, including its foray into BESS.

Future Outlook

The Company has guided for approximately 13% revenue growth in FY27, supported by around 15% growth in sales volumes to approximately 2,31,000 MT, with capacity utilisation expected to improve to nearly 73% while maintaining EBITDA margins of around 11%. Growth is expected to be supported by ongoing capacity expansion in polymer compounds together with the Companys entry into the Battery Energy Storage Systems (BESS) business. The Company has planned capital expenditure of approximately 175 Cr during FY27 towards expansion of HFFR capacity to 20,000 MTPA, PE compounds to 25,000 MTPA, and the first phase of its BESS business. Over the medium term, the Company aims to achieve 5,000 Cr revenue from its compounding business by FY2030, with the BESS segment expected to emerge as an additional growth driver.

The first phase of the BESS project comprises a 5 GWh assembly facility, targeted for commissioning by Q1FY28 and proposed to be funded through internal accruals. The Company intends to adopt a phased assembly-led operating model during the initial years while progressively expanding capacity and strengthening its presence in the energy storage value chain over the longer term. Key Market Drivers

Renewable Energy & Power Infrastructure

Indias power requirement is projected to reach 817 GW by 2030, with 50% of cumulative installed power capacity targeted to come from renewable energy sources. Indias wires & cables market is projected to grow from 80,000 Cr in FY24 to 1,20,000 Cr by FY27E (11% CAGR), while transmission line additions are expected to increase from 15,000 km in FY23 to

2015 km by FY30E (16% CAGR), supporting demand for polymer compounds.

Global Polymer Compounding Market

The global polymer compounding market is projected to grow from US$67 Bn in 2023 to US$115 Bn by 2031, registering a 6.5% CAGR, supported by growing demand across electrical, automotive, construction and industrial applications.

Growing Demand for HFFR Compounds

The Indian HFFR market is projected to grow from US$613.25 Mn in FY24 to US$778.87 Mn by 2030 (4.25% CAGR), while the global HFFR market is expected to expand from US$2.17 Bn in FY23 to US$4.09 Bn by FY30 (9.5% CAGR), driven by increasing adoption of safer and environmentally friendly cable compounds.

Market Restraints

Raw Material Price Volatility

Management indicated that raw material prices witnessed significant volatility during FY26 due to geopolitical disruptions, requiring timely price pass-through to customers.

Import Dependency

Approximately 10-15% of the Companys raw material requirement is imported, exposing it to global supply chain disruptions and input cost volatility.

Competitive Intensity

The polymer compounds industry remains competitive, with both domestic and international players across key product segments, resulting in continued pricing and market-share pressures.

Customer Backward Integration

Large cable manufacturers may pursue backward integration into polymer compounding. However, management believes the Companys scale, technical expertise and long-standing customer relationships provide a competitive advantage.

Market Opportunity

Battery Energy Storage Systems (BESS)

The Companys entry into the BESS segment positions it in a market projected to grow from US$68.7 Bn in 2026 to US$186.9 Bn by 2030 (22% CAGR), while Indias BESS capacity is projected to reach approximately 208 GWh (US$32 Bn) by 2030.

Renewable Energy & Grid Modernisation

Growing investments in renewable energy and grid modernisation are expected to drive sustained demand for XLPE, HFFR and PE-based cable compounds.

Product Development

The Company continues to advance R&D on 132 kV cable compounds, with 220 kV compounds identified as the next area of product development. E £ ]

SWOT ANALYSIS

Strengths

Indias largest listed manufacturer of polymer compounds with over four decades of industry experience.

Installed manufacturing capacity increased to approximately 3.16 lakh MTPA following commissioning of the new XLPE facility in April 2026.

Diversified portfolio of 200+ polymer compounds catering to the wire & cable, packaging, engineering plastics, white goods, footwear and industrial sectors.

Ability to offer integrated portfolio across PVC, XLPE, HRRR and semicon coupled with strong R&D and diversified product mix

Leading position in XLPE compounds, with an expanding portfolio of HFFR and high-voltage cable compounds.

Net debt-free balance sheet, supported by CRISIL A+/Stable and CRISIL A1+ credit ratings.

Diversified customer base across domestic and international markets.

Entry into the Battery Energy Storage Systems (BESS) business provides an additional long-term growth platform.

Long qualification cycle creates customer stickiness & entry barriers

Strong presence in cable industry value chain

Weaknesses

Dependence on petrochemical-based raw materials exposes the Company to input cost volatility.

Approximately 10-15% of raw material requirements are sourced through imports, exposing operations to global supply chain disruptions.

Export performance remains susceptible to geopolitical developments and logistics disruptions.

Opportunities

Rising investments in renewable energy, transmission infrastructure and grid modernisation are expected to drive demand for XLPE, HFFR and PE-based cable compounds.

Indias wires & cables market is projected to grow from 80,000 Cr in FY24 to 1,20,000 Cr by FY27E.

The global polymer compounding market is projected to reach US$115 Bn by 2031, creating long-term growth opportunities

Indias HFFR market is projected to grow from US$613.25 Mn in FY24 to US$778.87 Mn by 2030

Ongoing R&D on 132 kV cable compounds, with 220 kV compounds identified as the next area of product development

Growth in Metro/Railway infrastructure projects requiring EV/ EHV compounds presents a new demand avenue

Export substitution opportunities as domestic capabilities strengthen

Growing Data Centre infrastructure requirements are expected to drive demand for cable compounds

Growing demand from AI infrastructure, hyperscale data centres and broader digital infrastructure is creating a new demand segment for advanced cable compounds, driven by the need for high-performance power, control and communication cables with enhanced fire-safety characteristics - boosting demand for HFFR, XLPE and speciality insulation compounds.

Threats

Geopolitical uncertainties may disrupt export logistics and increase raw material price volatility.

Intense competition from domestic and international polymer compound manufacturers may exert pricing pressure.

Volatility in petrochemical feedstock prices may impact operating margins.

Customer backward integration into polymer compounding could affect future demand.

Delays in execution or slower-than-expected adoption of the BESS business may impact the Companys growth plans.

RISKS & CONCERNS

Type of Risk Business Risk

Technology Risk

Revenue Risk

Human Resource Risk

Foreign Exchange Risk

Risk Particulars

Swings in raw material costs, currency movements, and gaps between supply and demand could disrupt operational stability.

Rapid shifts in quality standards and the risk of products becoming outdated could weaken competitiveness, whereas the introduction of alternative insulating materials also pose risk to market growth.

Margin pressure from rising costs, client attrition, and stiff competition from unorganized players and imports could dent financial performance. The entry of new players and customer concentration pose risk to growth.

Attracting and retaining skilled talent is essential to achieving business goals, as is upgrading employee capabilities over time.

Mitigation Strategy

The company actively tracks input costs and locks in favorable procurement terms. Long-term supplier agreements help secure uninterrupted access to key raw materials, while ongoing market monitoring and disciplined inventory practices help contain exposure.

A strong in-house R&D capability keeps the company ahead on innovation, supported by continuous customer feedback loops that guide product upgrades to match evolving requirements.

High service standards help retain customer loyalty, backed by a well-established client base and consistent quality benchmarks. Strategically placed facilities also help keep logistics costs down.

Exposure to overseas markets means currency volatility could affect profitability.

Threats to data integrity and privacy, including potential breaches of cloud infrastructure, could lead to information leaks or misuse.

Managing counterparty credit Ij exposure is key to avoiding payment delays or defaults.

A structured talent-mapping process identifies critical roles, complemented by regular training initiatives aimed at building employee skills and knowledge.

Consistent, disciplined hedging practices limit currency-related risk, and the company avoids foreign-currency borrowings. A growing export focus is expected to provide a natural balance.

Layered security systems, strict data-protection protocols, automated backups, and a defined disaster recovery plan safeguard against cyber threats.

Backed by a solid working capital position, the company regularly reviews export receivable insurance and banking/financial arrangements.

Type of Risk	Risk Particulars	Mitigation Strategy
Liquidity Risk	Cash flow shortfalls could hinder the companys ability to meet payment obligations.	Careful assessment of working capital, close oversight of financing strategy, efficient capital utilization, and stable funding arrangements help maintain smooth operations.
^ Health, Safety & Occupational Risk	Manufacturing of polymer compounds involves handling chemicals, high-temperature processing equipment and material movement operations, exposing employees to potential workplace accidents and safety incidents.	Robust Environment, Health and Safety (EHS) framework, periodic safety audits, employee training, Personal Protective Equipment (PPE) compliance, emergency response systems, preventive maintenance and continuous monitoring of safety performance indicators.
Economic Risk	Broader economic pressures 2028. including supply chain bottlenecks, rising inflation, and shifting geopolitical dynamics could weigh on the companys operational efficiency.	A diversified product portfolio and a well-entrenched market position help cushion the business against these external shocks.
Dependency Risk	Heavy reliance on a limited number of sectors or industries could expose the company to concentration-related vulnerabilities.	A loyal, well-diversified customer base along with long-standing industry relationships reduces overreliance on any single sector, helping sustain steady demand across cycles.
Qualification Risk	Delays in product approvals and qualification with customers, if any, could affect the timely rollout of new products.	Strong in-house R&D capability and forward-looking product development help mitigate qualification-related delays.
Product Liability Risk	Potential failure of products in power cable applications could expose the Company to liability and reputational risk.	In-house R&D strength and product foresightedness help minimise the risk of application failures.
BESS Execution Risk	Expansion into the Battery Energy Storage Systems (BESS) business involves execution, technology adoption and customer/developer qualification risks associated with a new business segment.	The Company has adopted a phased implementation strategy for its BESS business, with Phase 1 (5 GWh assembly plant) targeted for commissioning by Q1FY28 and funded through internal accruals, followed by gradual capacity ramp-up.

Internal Control System

The Company consistently endeavours to enhance its internal control systems and processes to ensure smooth and efficient business operations while adhering to relevant laws and regulations. It maintains a comprehensive delegation of authority to facilitate effective decision-making. Detailed guidelines for accounting preparation are strictly followed to ensure consistent compliance. Additionally, each key functional area operates under specific operating manuals. Regular and thorough internal audits are conducted by experienced accounting firms in close coordination with the Companys accredited officials to ensure the integrity of all internal control systems and checks and balances. The internal financial controls undergo periodic review, specifically ensuring by internal auditors that the Companys internal financial controls, including operational controls, are adequate and functioning efficiently in all significant aspects.

Human Resource and Industrial Relations

The Company recognises its people as a key enabler of

CAUTIONARY STATEMENT operational excellence, innovation and sustainable growth. It continued to strengthen its talent base through focused learning, technical capability building and leadership development, with 88 training programmes benefiting approximately 680 employee participants during the year. Its workforce increased to 412 employees as at 31 March 2026, supported by a culture centred on inclusion, employee wellbeing and workplace safety.

Corporate Social Responsibility

The Company believes that sustainable growth extends beyond business performance to creating meaningful value for communities. During FY2025-26, the Company invested 422.18 lakh towards CSR initiatives, with programmes focused on healthcare, education and livelihood enhancement. Through partnerships with reputed organisations, these initiatives sought to improve access to healthcare, strengthen learning opportunities for children and youth, and support sustainable livelihood opportunities, contributing to the socio-economic development of communities. Certain statements in this Management Discussion and Analysis - particularly those relating to the Companys objectives, projections, estimates and expectations - may constitute forward-looking statements under applicable laws and regulations. Actual results could differ materially from those expressed or implied. Factors that could cause such differences include economic conditions affecting demand, supply and pricing in domestic and international markets, changes in government regulations and tax laws, natural disasters, and other factors beyond the Companys control. The Company undertakes no obligation to update or revise any forward-looking statements.

	For Ddev Plastiks Industries Limited
Date: 25.05.2026	Narrindra Suranna (DIN: 00060127)
Place: Kolkata	Chairman and Managing Director