Equity Research Project on Specialty Chemical Sector

Abstract

The Global on-going pandemic has hit every possible business around the world. Various countries are going through tough time with lockdowns and other strict policies to control the pandemic. Various sectors are hit by the pandemic but still some sectors like pharmaceuticals are pulling the economy to survive. The top to down approach to research the specialty chemical sectors, where initially started with the various economies around the globe were looked then specialty chemical sector was analysed and then company India gelatine and chemical limited was analysed deeply and compared it with its peers. The analysis gave the positive respond for specialty chemical sector which has huge potential to grow in India with growth rate of 12-13% and as the sectors supports the various subsectors such as agriculture, pharma, plastic, food industry and much more which makes the sector demanding and prominent. The analysis of the company which was gelatine manufacturing unit using bones as a major raw material is facing competition from synthetic gelatine as a substitute and shortages of raw material availability as a major drawback which is deteriorating company’s performance as a whole from last five years. After the analysis I can conclude the specialty chemical sector is the next boom for the country as china was the major player which is backfired by the environment deteriorating and now major production is expected by Indi. However the company I analysed in not facing good results and is likely to fail in future if didn’t take any major decisions to change the business model of the company.