How do you describe the journey of Henkel in India in the last 10 years?

Over the past decade, journey of Henkel’s Adhesive Technologies business in India (the business) has been nothing short of remarkable. From expanding its manufacturing footprint to diversifying product offerings and embracing cutting-edge technologies, we have demonstrated significant growth and a strategic commitment to the Indian market.

The business has also broadened its product range and extended its reach to various sectors, including electronics and construction. The business has been expanding its presence in the country through consistent strategic investments to meet the rapid market growth. A key milestone in the journey of Henkel Adhesive Technologies in India is the expansion of its manufacturing capabilities, led by its Kurkumbh facility near Pune—India’s largest adhesive manufacturing site. This multi-technology manufacturing facility is being built in phases. The first and second phases of this site were launched in 2020 while the third phase of this site comprising the Loctite plant was inaugurated in 2024. This facility has significantly boosted local production, reduced import dependence, and increased capacity to meet growing demand. Henkel network also includes plants in Thane, Rudrapur, and Chennai, catering to diverse industries.

To cater to the unique needs of the Indian market, the business has set up two innovation centers to adapt global technologies for local use and established a Flexible Packaging Academy to drive advancements in packaging solutions. It has also established an application center for the footwear industry aimed at scaling competence for innovation and digitalisation, allowing more agility to speed up time-to-market. 

By focusing on exports from India, Henkel has strengthened its global supply chain, taking advantage of the country's location and manufacturing infrastructure. Aligning with national initiatives like 'Make in India' and 'Digital India,' Henkel has tailored its growth strategy to harness the country's economic progress.

The business has focused on creating more value for our customers and consumers by constantly innovating to offer better performance with a reduced ecological footprint. From bio-based raw materials to energy-saving solutions like low-temperature adhesives, our adhesive technologies business integrates sustainability into innovation and business strategy. 

We are focused on advancing renewable energy adoption and optimising energy and water usage. Henkel aims to transform all its production sites in India into carbon neutral sites by 2030, sourcing 100 per cent of its electricity from renewable sources and reducing the use of fossil carbon sources through state-of-the-art technologies. Our Chennai and Rudrapur manufacturing site operate on 100 per cent renewable energy (scope 2). In 2023, the Chennai adhesive manufacturing site achieved carbon neutrality covering scope 1 and 2 of the Greenhouse Gas (GhG) protocol. The site achieved this milestone by drawing electricity from both on- and offsite renewable energy sources and upgrading the fossil fuel heater to an electrical temperature control unit besides replacing the conventional boiler with an upgraded electrical version.

The business has leveraged IoT, AI, and advanced robotics to optimise manufacturing efficiency and quality control. By deploying predictive maintenance and real-time data analytics, we have reduced energy consumption, minimised waste, and improved resource utilisation. 

How is Henkel supporting the growth of the Indian manufacturing sector?

Henkel is fully aligned with the ‘Make in India’ vision and is supporting the growth of the Indian manufacturing sector. The adhesive business of Henkel has been expanding its local manufacturing capacity and continuously innovating to meet the growing demand for high-performance solutions in adhesives, sealants, and functional coatings. We aim to contribute to solving challenges faced by manufacturers through material science and know-how in bonding, sealing, and coating.  

We have been investing in adhesive production facilities, such as Kurkumbh, near Pune, to cater to domestic and export markets. Henkel operates innovation and application centers in India to develop tailored solutions for the local market. These investments align with the ‘Make in India’ initiative by strengthening local supply chains.

Currently, there is a lot of focus on cost reduction in the manufacturing processes, which is a global trend. We work with our customers to provide solutions that help them in achieving this goal. This comes from the use of different materials, simplifying the processes and making sure that the designs are integrated. Lightweight technology which involves reducing the weight of machines is another important trend as it adds to cost reduction, performance enhancement while making the machines lighter. 

Additionally, sustainability is another trend, which has been gaining increasing importance in India. With new and stricter regulations and the desire of our customers to be globally competitive, manufacturers want to make sure that they have the right value proposition so as to meet the global standards of sustainable products. Our adhesives, sealants, and functional coatings are used in a wide range of industries. All of which face enormous challenges when it comes to sustainability. To create value for our partners and the planet, we strive to optimise our own footprint and at the same time enable our customers to drive sustainability through cutting-edge technologies. To foster sustainability across industries, we are holistically transforming our portfolio and co-innovating more sustainable solutions together with our customers and partners. Putting collaboration at the core and center, we are engaging with key players along the whole value chain to promote sustainable practices, share know-how, and drive systemic solutions forward together. Based on our holistic understanding of trends and challenges across the industries we serve, we have identified three focus topics where we can make the biggest impact with our solutions: climate, circularity and safety.

Which factors and sectors are driving demand for Henkel?

The adhesive business of Henkel India is experiencing demand, driven by the growth of key sectors such as construction, electronics, data & telecom, automotive and packaging. The automotive sector, particularly EVs, is fueling demand for high-performance adhesives and sealants that enable lightweight construction, thermal management, safety and passenger comfort. Similarly, the consumer electronics industry is seeing rapid growth due to increasing demand for smart devices and wearables, driving the need for adhesives that support miniaturisation, thermal management, and durability. The packaging industry, propelled by e-commerce growth and sustainability mandates, seeks eco-friendly, high-performance adhesive solutions that facilitate recyclable and lightweight packaging designs. Additionally, urbanisation and infrastructure development are boosting the demand for durable and sustainable adhesive solutions in construction.

Several factors are contributing to this demand surge. Digitalisation and Industry 4.0 are transforming manufacturing processes. Some of Henkel’s digitally enabled adhesive solutions are designed to meet the evolving needs of automated production lines. Sustainability is another critical driver, as industries prioritise eco-friendly adhesives that reduce environmental impact, aligning with Henkel’s portfolio of low-emission, bio-based, and recyclable products. Innovation and R&D are also pivotal, with Henkel leading advancements in hybrid adhesives, structural bonding, and high-temperature-resistant materials. Furthermore, Henkel India’s focus on localisation and customisation ensures tailored solutions for the needs of the regional market.

What would be your suggestions to the industry and the government?

The Indian manufacturing sector stands at a pivotal juncture, with immense potential to grow despite global uncertainties and trade tensions. To capitalise on this opportunity, a synchronised effort between the government and the industry is essential. 

For example, Henkel has already integrated AI into demand forecasting and is extending Industry 4.0 to warehouses. This enables agility and responsiveness, ensuring timely delivery despite disruptions.

Dependence on global supply chains has exposed vulnerabilities. Indian manufacturers should focus on increasing localisation to mitigate risks, as Henkel is doing by sourcing raw materials locally and transitioning from imported finished products to domestic manufacturing. This also supports the "Make in India" initiative and creates jobs. Henkel, for instance, is deeply committed to advancing sustainability in adhesives, sealants, and coatings.

How is Henkel in India gearing up for robust growth with minimum carbon footprint?

Henkel India’s adhesive business is leading the digitalisation transformation in the manufacturing sector through its Smart Factory System and a strong focus on sustainability. By integrating advanced technologies such as the Industrial Internet of Things (IIoT), SCADA systems, and AI, Henkel enhances operational efficiency and product quality while minimising downtime. The integration of digital tools enables the design and testing of eco-friendly materials with reduced environmental impact. Digital simulations are allowing Henkel to design sustainable alternatives such as bio-based resins and water-based adhesives, reducing the environmental impact of production.

The company's commitment to sustainability is evident in its initiatives to monitor energy and water consumption using real-time data analytics, enabling proactive resource management. Additionally, Henkel aims to achieve a paperless factory by digitising workflows.

Henkel aims to transform all its production sites in India into carbon neutral sites by 2030, sourcing 100 per cent of its electricity from renewable sources and reducing the use of fossil carbon sources through state-of-the-art technologies. Our Chennai and Rudrapur manufacturing site operate on 100 per cent renewable energy (scope 2). In 2023, the Chennai adhesive manufacturing site achieved carbon neutrality covering scope 1 and 2 of the Greenhouse Gas (GhG) protocol. The site achieved this milestone by drawing electricity from both on- and offsite renewable energy sources and upgrading the fossil fuel heater to an electrical temperature control unit besides replacing the conventional boiler with an upgraded electrical version.

What are your plans to take Henkel forward in India? 

To drive Henkel's growth story forward in India, our focus will be on expanding manufacturing capacity to meet rising demand, introducing innovative and sustainable products tailored to local needs, and tapping into emerging sectors such as electric vehicles and smart infrastructure. We aim to leverage India as a strategic hub for exports, strengthening our role in the global supply chain. With enhanced profitability aligned to India’s economic growth, we are committed to advancing R&D, sustainability, and innovation, ensuring Henkel’s continued leadership in the Indian market.