⚡ The Rise of India's Wires & Cables Industry

Once a relatively quiet corner of India’s electricals sector, the wires and cables industry is now buzzing with energy. Over the last decade, this space has evolved from a fragmented, largely unorganised market to a critical pillar of India’s infrastructure and energy transition journey.

Today, wires and cables account for more than 40% of the electrical equipment industry, supplying the backbone for everything from household wiring and industrial power transmission to renewable energy installations, telecom networks, and metro railways.

📈 Performance Snapshot

• Market Size (FY24): ₹90,000 to ₹1,00,000 crore

• Growth Rate (CAGR): 12%–14% expected through FY29

• Key Segments: Power cables, control cables, instrumentation cables, and optical fiber cables

The growth has been led by:

• Urbanisation and housing demand

• Government schemes like Smart Cities, Saubhagya (rural electrification), and Power for All

• Surging demand from renewables and EV infrastructure

• A push toward brand-conscious, fire-resistant, and low-loss wiring by safety-focused consumers

This sector has rewarded market leaders like Polycab, KEI Industries, Havells, and Finolex, whose stock prices have delivered strong double-digit returns over the last 3–5 years. Investors have come to see wires and cables as a defensive-meets-growth play—steady margins, scalable demand, and exposure to critical sectors like infra, construction, and energy.

🔄 Industry Shift: From Commoditised to Consolidated

Until a decade ago, the industry was highly fragmented, dominated by local and unorganised players. Today, a clear shift toward formalisation is evident, driven by:

• Stringent safety regulations

• Consumer trust in branded, ISI-marked cables

• Builder and infrastructure project requirements for quality assurance

Branded players now dominate over 75% of the market in metros and are rapidly gaining share in Tier 2 and Tier 3 towns as well.

🧲 What’s Attracting Business Conglomerates?

This consistent, demand-driven, and margin-friendly industry is now attracting large corporate houses like the Adani Group and Aditya Birla Group. Their entries aren’t just opportunistic—they’re strategic expansions aligned with long-term sectoral themes.

⚙️ The Aditya Birla Group’s Foray: Construction Value Chain Play

🏗️ UltraTech Cement’s ₹1,800 Crore Bet

In February 2025, UltraTech Cement—India’s largest cement manufacturer—announced its decision to invest ₹1,800 crore in setting up a wires and cables manufacturing unit in Bharuch, Gujarat. The unit is expected to be operational by December 2026.

🎯 Strategic Rationale:

• Expansion into adjacent sectors: The Birla Group has already diversified into paints (Birla Opus), waterproofing, and building materials. Wires and cables are the next logical step.

• Leveraging distribution: UltraTech has a pan-India presence and relationships with builders and contractors who are natural customers for cables.

• Construction bundling: UltraTech can offer integrated construction solutions—cement, paints, waterproofing, wires, etc.—simplifying procurement for developers.

However, the announcement was met with skepticism by some analysts who questioned the capital allocation logic and potential distraction from UltraTech’s core cement business. The company’s stock fell 6% following the announcement.

🔌 Adani Group’s Entry: Copper to Cable Integration

🔧 Praneetha Ecocables: A New Vertical Built on Copper

In March 2025, Adani Enterprises, through its subsidiary Kutch Copper, announced a 50:50 joint venture with Praneetha Ventures to form Praneetha Ecocables Limited. This company will manufacture and distribute metal products, primarily wires and cables.

This move follows Adani’s massive ₹8,000 crore investment in a copper smelting plant in Mundra, which secured a long-term supply deal with Chile’s Codelco—the world’s largest copper producer.

🎯 Strategic Rationale:

• Backward Integration: Adani controls the copper, the key raw material, ensuring cost and supply stability.

• In-house demand: Its infra projects (ports, power, solar, metro) require extensive cable installations.

• Value addition: Instead of selling raw copper, converting it into cables boosts margins and diversifies revenue.

This is a classic vertical integration play, typical of Adani’s broader business model—control the supply chain, dominate a value segment, and support in-house consumption.

🏢 Comparing the Players

🔮 The Road Ahead: A Competitive, Growing Landscape

The wires and cables industry is no longer just about conducting electricity—it’s conducting opportunity.

🚀 Tailwinds:

• Massive infrastructure projects under Gati Shakti

• Real estate rebound in Tier 1 and Tier 2 cities

• Energy transition (solar, wind, EV charging)

• Safety norms and fire-resistance awareness

🧠 Challenges:

• Copper price volatility

• Brand building for new entrants

• Distribution moat built by legacy players

📌 Conclusion: Big Bets, Bigger Potential

The entry of the Adani and Aditya Birla groups is more than a headline—it reflects how conglomerates are placing bets on future-proof, core infrastructure businesses. With India's economy pushing toward electrification, digitalisation, and urbanisation, wires and cables are literally and metaphorically the connections powering growth.

Their success will depend not just on scale and capital, but on their ability to build brand trust, penetrate distribution, and stay agile in a rapidly evolving landscape.