# Organic pigments: Production

How an Indian firm became a global pigment consolidator

Source page: https://www.materialinsights.org/chemicals/pigments/production/

What this tab covers Who makes it and how much: world capacity and output, utilisation, the top producing countries and companies globally and in India, concentration, new capacity coming, and each region's position.

| Measure | Figure | Detail | Source |
|---|---|---|---|
| **World capacity** | China about 280 kt/yr, about 70% of global (2025), implying about 400 kt world capacity |  | Faxian Gongchang 2026 |
| **World output** | about 400 kt consumption (2025) |  | Faxian Gongchang 2026 |
| **Capacity utilisation** | not published | Chinese commodity grades are in surplus, and Sudarshan's legacy business guided only 10-11% revenue growth while Heubach restructured. | Arihant Capital, May 2026 |
| **Concentration** | China about 70% of capacity; top five companies about 35-50% of value (sources differ) | DIC Group and Sudarshan are the two largest. Sudarshan's share rose to about 15% from 3.5% after Heubach; Lily Group has about 10% global share in organic pigments. | Arihant Capital IC; Faxian Gongchang 2026 |
| **New capacity** | few new plants; consolidation instead | Sudarshan has announced no new capex while integrating Heubach (FY27 guidance EUR 700 million sales, EUR 35 million EBITDA; EUR 90-100 million by FY28-29). Chinese additions focus on high-performance grades (Lily DPP, isoindolinone). | Arihant Capital May 2026; Faxian Gongchang 2026 |

#### Top producing countries
 China 70% · about 280 kt/yr capacity

- **India**: major exporter of CPC blue, green and azo pigments; Sudarshan exports about INR 12.5 billion (FY26E)
- **Germany**: Heubach (now Sudarshan) plants; high-performance production
- **Japan and US**: DIC and Sun Chemical (incl. former BASF pigments)
- **Switzerland and others**: specialty producers and finishing plants (indicative)
 Faxian Gongchang 2026; Arihant Capital (Sudarshan export table); Arihant Capital; Arihant Capital (DIC top two); BASF sale indicative; indicative

#### Largest producers: global

| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| **DIC Group (incl. Sun Chemical)** acquired BASF's pigments business in 2021 (indicative); leader share about 15-18% | Japan | not published | 2025 | [Arihant Capital IC (top two)](https://arihantresearch.arihantcapital.com/Mumbai_Research/Sudarshan%20Chemicals%20IC%20Final.pdf) |
| **Sudarshan Chemical Industries (incl. Heubach)** about 15% global share; headquarters for Heubach in Frankfurt | India | 97.9 INR billion consolidated revenue | FY2026 | [Arihant Capital result update, 27 May 2026](https://arihantresearch.arihantcapital.com/Mumbai_Research/Sudarshan%20Chemical%20Ind%20Ltd_Result%20Update_Q4FY26.pdf) |
| **Lily Group** about 10% global share; 3 kt quinacridone; 1 kt DPP | China | 40 kt/yr organic pigments (Linpu) | 2025 | [Faxian Gongchang 2026](https://faxiangongchang.com/en/reports/china-dyes-pigments-2026) |
| **Heubach (now part of Sudarshan)** includes the former Clariant pigments business | Germany | 700 EUR million sales guidance | FY2027 | [Arihant Capital, May 2026](https://arihantresearch.arihantcapital.com/Mumbai_Research/Sudarshan%20Chemical%20Ind%20Ltd_Result%20Update_Q4FY26.pdf) |
| **Longyu and other Chinese commodity producers** Chinese players about 30% of commodity segment | China | not published | 2025 | Arihant Capital IC |

#### Largest producers: India

| Company | Country | Volume | Year | Source |
|---|---|---|---|---|
| **Sudarshan Chemical Industries** about 35% of India's organised pigment market; India EBITDA margin 15-16% | India | 25.4 INR billion standalone revenue | FY2024 | [Arihant Capital IC](https://arihantresearch.arihantcapital.com/Mumbai_Research/Sudarshan%20Chemicals%20IC%20Final.pdf) |
| **Meghmani Organics** largest CPC blue producer; top three globally in pigment blue; pigment margin 3.4% | India | 353 Rs crore pigment revenue (9M FY26, -16%) | 9M FY2026 | [CRISIL rating rationale, 27 Apr 2026](https://www.crisil.com/mnt/winshare/Ratings/RatingList/RatingDocs/MeghmaniOrganicsLimited_April%2027_%202026_RR_394416.html) |
| **Asahi Songwon Colors** CPC blue exporter (indicative) | India | not published | 2026 | not retrieved |

India is a large exporter of organic pigments, strong in phthalocyanines and azo pigments, with Meghmani's group exporting about 85% of sales. Sudarshan holds about 35% of the organised domestic market and, with Heubach, now owns European high-performance plants.

#### Position by region

| Region | Position |
|---|---|
| **US** | Customer base for inks and coatings; US tariffs cut Meghmani's pigment sales 16% in 9M FY26. |
| **EU** | Heubach and specialty producers face high energy costs and REACH; European buyers seek non-Chinese supply. |
| **India** | Exporter with ADD protection on arylides; Sudarshan now a global consolidator. |
| **China** | About 70% of capacity; imports over 50% of high-end grades but is building DPP and quinacridone capacity. |
| **Japan** | DIC is the global leader. |
| **Middle East** | Minor. |

## Other sections

- [Summary](https://www.materialinsights.org/chemicals/pigments/index.md)
- [Overview](https://www.materialinsights.org/chemicals/pigments/overview/index.md)
- [Correlation](https://www.materialinsights.org/chemicals/pigments/correlation/index.md)
- [Production route](https://www.materialinsights.org/chemicals/pigments/routes/index.md)
- [Feedstocks](https://www.materialinsights.org/chemicals/pigments/feedstocks/index.md)
- [Cycles](https://www.materialinsights.org/chemicals/pigments/cycles/index.md)
- [Trading](https://www.materialinsights.org/chemicals/pigments/trading/index.md)
- [Movement](https://www.materialinsights.org/chemicals/pigments/movement/index.md)
- [Regulation](https://www.materialinsights.org/chemicals/pigments/regulation/index.md)
- [Characteristics](https://www.materialinsights.org/chemicals/pigments/characteristics/index.md)
- [Emissions](https://www.materialinsights.org/chemicals/pigments/emissions/index.md)
- [Relationships](https://www.materialinsights.org/chemicals/pigments/links/index.md)