Strategic Expansion in India's Adhesive and Sealants Market: Synergistic Growth Opportunities through Pidilite's Investment in Imagimake

India's adhesive and sealants market is undergoing a transformative phase, driven by rapid urbanization, infrastructure development, and a surge in demand from sectors like automotive and e-commerce. According to a Mordor Intelligence report, the market size was valued at USD 3.46 billion in 2025 and is projected to reach USD 4.82 billion by 2030, with a compound annual growth rate (CAGR) of 6.85%. This growth is underpinned by government initiatives such as the "Make in India" program and the Production-Linked Incentive (PLI) schemes, which are boosting high-performance adhesives for electronics manufacturing. Simultaneously, the shift toward sustainable packaging and construction materials is reshaping product innovation, with water-based and bio-based adhesives gaining prominence, according to a MarkWide Research analysis.

Market Drivers and Emerging Trends

The infrastructure boom, fueled by the PM Gati Shakti initiative, is a critical driver for sealants, while the localization of electric vehicle (EV) battery packs is redefining automotive adhesive specifications, according to a Mordor sealants report. In the packaging sector, the rise of e-commerce and the ban on single-use plastics have accelerated demand for paperboard adhesives, with the segment accounting for 50.6% of the market share in 2025, according to a GlobeNewswire report. Sustainability remains a cross-cutting theme, with regulatory pressures and consumer preferences pushing companies to adopt low-VOC and bio-based formulations. Innovations such as smart adhesives with self-healing properties are also gaining traction, particularly in electronics and aerospace applications, according to a Persistence Market Research report.

Pidilite's Strategic Investment in Imagimake

Amid this dynamic landscape, Pidilite Industries, a leader in the adhesive sector, has made a strategic investment in Imagimake, an educational toy startup. Pidilite Ventures, the company's venture capital arm, initially invested INR 20 crore (approximately USD 2.5 million) in Imagimake in October 2023, followed by a larger Series B investment of up to INR 340 million, according to an InvestyWise article. This funding aims to scale Imagimake's production capacity, strengthen its R&D capabilities, and expand its global distribution network for educational toys, games, and art & hobby products. With nearly 120 SKUs already in its portfolio, Imagimake's products are available in over 4,000 retail outlets in India and exported to 30 countries, with the U.S. as its largest market, as reported in an Inc42 report.

Synergies Between Adhesive Expertise and Educational Innovation

The collaboration between Pidilite and Imagimake highlights a unique synergy between adhesive technology and product innovation. Imagimake's educational toys, such as STEM-based kits and model-building sets, rely on durable, safe, and user-friendly materials. Pidilite's expertise in adhesives, including its iconic Fevicol and Fevikwik brands, provides the technical foundation for these products. For instance, Pidilite's adhesives are used in Imagimake's 3D puzzles and model-making kits to ensure structural integrity and ease of assembly, as noted on Pidilite's Wikipedia page. This cross-industry application underscores how adhesive innovation can enhance the functionality and safety of educational toys, aligning with global trends in experiential learning.

Moreover, Pidilite's commitment to sustainability is expected to influence Imagimake's product development. The company's focus on eco-friendly adhesives, such as water-based formulations, could lead to the creation of toys with reduced environmental impact. This aligns with India's growing emphasis on green manufacturing and positions Imagimake to capture a niche market for sustainable educational products, according to a Cash Platform analysis.

Future Outlook and Investment Implications

The India adhesives and sealants market is forecasted to grow at a CAGR of 7.1% from 2025 to 2032, reaching USD 5,548.6 million by 2032, according to Persistence Market Research. Pidilite's investment in Imagimake not only diversifies its portfolio but also strengthens its foothold in emerging sectors. By leveraging its adhesive expertise to support educational innovation, Pidilite is tapping into a market segment with high growth potential. The integration of AI-driven R&D and automation in manufacturing further enhances efficiency and product quality, addressing challenges such as raw material volatility and regulatory compliance, according to a Virtue Market Research report.

Conclusion

Pidilite's strategic investment in Imagimake exemplifies how cross-industry collaboration can unlock synergies in India's adhesive and sealants market. By aligning with trends in sustainability, technological innovation, and experiential learning, Pidilite is not only reinforcing its leadership in traditional sectors but also positioning itself at the forefront of emerging opportunities. For investors, this move highlights the potential of strategic diversification in a market poised for robust growth.