From food to electronics, climate resilience is reshaping Indian manufacturing

Vijay C RoySowmya RamasubramanianManas Pimpalkhare
4 min read10 Jul 2026, 09:00 AM IST
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India still relies heavily on imports for heat resilience in new energy products.
Summary
Manufacturers are leading efforts to make products more heat-resilient as consumer complaints rise with frequent heatwaves.

Indian manufacturers are redesigning products, from ice creams and air conditioners to tyres and electric vehicle batteries, to make them more resilient to rising temperatures and extreme weather events.

“New designs are being attempted, as higher temperatures are recorded every year. The attempt is to make the machine more reliable, while conforming to energy efficiency standards," said B. Thiagarajan, managing director of Mumbai-based AC maker Blue Star Ltd.

Climate change burden

India, the world's fifth-largest consumer market, is projected to become the third-largest by 2030, according to the World Economic Forum. However, climate change poses a clear and present economic and ecological challenge as the country is the world's seventh most climate-vulnerable, according to the Economic Survey 2024-25.

Also Read | India must adapt its growth strategy to a world of climate-influenced trade

Temperatures frequently exceeding 45° Celsius across northern, northwestern, and central India over the past few years, and longer, more intense heatwaves in 2026, coupled with a delayed south-west monsoon due to El Niño conditions, highlight the country's growing climate risks.

India's economic losses from climate-related disasters exceeded $12 billion in 2023, 50% more than the previous ten-year average of $8 billion, according to research by reinsurance company Swiss Re.

The impact of climate change extends well beyond disasters and agriculture, increasingly affecting the performance and durability of everyday products—from food to electronics.

For example, for Indian ice cream makers, which produced about 400 million litres annually before the covid-19 pandemic, rising temperatures present a paradox. While hotter weather boosts demand, it also causes ice cream to melt faster, increasing freezing, storage and cold-chain costs.

“Ice cream manufacturers are using hardening tunnels to quickly freeze products to below -30°C. Retailers, meanwhile, are replacing conventional freezers with glycol freezers that use a glycol-water mixture to maintain temperatures ranging from -18°C to -48°C," said Charanjit Singh Basant, managing director of Ludhiana-based Basant Ice Cream and Foods Pvt. Ltd.

Although the acquisition cost of these machines is high—around 2-3 crore for a hardening tunnel—the increased production capacity helps lower overall production costs, removing the need to raise prices in a competitive market, he added.

Also Read | A.V. Birla: Renewables aren’t just a climate goal but a national moat for India

K. Rathnam, chief executive and whole-time director of initial public offering (IPO)-bound Milky Mist Dairy Food Ltd, said the company has built climate considerations into its packaging and supply chain.

“Our packaging is designed keeping in mind varying environmental conditions, including high temperatures. Climatic factors are incorporated into the design process to ensure product quality and integrity throughout the supply chain,” he said.

Climate resilience has become an increasingly important consideration, with investments focused on efficient manufacturing and cold-chain infrastructure, added Gaurav Kwatra, chief marketing officer at Bengaluru-based ready-to-cook product maker iD Fresh Food.

In 2025, India recorded a maximum temperature of 49.5°C in Rajasthan and a minimum of -31.2°C in Ladakh.

Road surface temperatures often exceed 60°C during peak summer, even when ambient temperatures are around 40-45°C, placing tyres under significantly higher thermal stress.

“This phenomenon has accelerated innovation in material science, advanced compound technologies, tread design and validation processes,” said V.K. Misra, technical director at New Delhi-based JK Tyre & Industries Ltd.

Must-have consideration

Experts say that, from a materials perspective, industries will need to adopt higher-heat-resistant insulation materials, advanced cooling technologies, corrosion-resistant components, and designs that improve thermal performance and durability.

Amit Tripathi, director at Dravya—the IIHS Centre for Materials and Sustainable Development—highlighted that manufacturers must re-engineer power-sector infrastructure products such as transformers, cables and substations to improve heat resilience and develop solutions tailored to the country's changing climate.

India’s power system is among the world’s most complex, with 500,000 circuit kilometres of transmission lines and 1,407 Gigavolt-Amperes (GVA) of transformation capacity, supplying electricity to over 35 million households.

India sold a record 14 million ACs in 2024, adding to the growing strain on the country's power grid as rising cooling demand pushed peak electricity demand to 250GW, according to the International Energy Agency's Energy Efficiency 2025 report, the latest available.

Also Read | US-Iran tensions revive fears of higher oil prices for India's consumer firms

“Consistent performance during extended periods of extreme heat while also being energy efficient and reliable over the long term is critical given the worsening heat,” said Kamal Nandi, business head at the appliances business of Godrej Enterprises Group.

Climate resilience is not just good to have now, but a must-have consideration in product innovation strategy, he added.

Manufacturers are leading efforts to make products more heat-resilient as consumer complaints rise with frequent heatwaves.

Manufacturers look for latent needs specified by consumers, and accordingly make changes to the product, said Gurudas Nulkar, professor and director of the Centre for Sustainable Development at the Gokhale Institute of Politics and Economics.

"The competitive nature of India’s consumer market helps. In a competitive market, if one manufacturer does it, everyone does it. If top brands make changes, others follow,” he added.

Battery overheating, for instance, has long been a consumer concern, according to Debi Goenka, executive trustee at Mumbai-based non-profit Conservation Action Trust, adding that rising temperatures automatically exacerbate the risk.

"Heat stress is a major hurdle for economic productivity, with it impacting the labour force, agriculture, horticulture, and overall economic growth,” he emphasized.

Also Read | More bad news on way as El Nino set to sap wind power output

Meanwhile, India's EV battery industry is increasingly shifting from nickel-manganese-cobalt (NMC) to lithium-iron-phosphate (LFP) cells because of their superior heat resistance, despite their lower energy density, said Debmalya Sen, president of the India Energy Storage Alliance (IESA).

“Most of the visible change so far is in cell chemistry and insulation, not in exotic new materials. There is increasing usage of phase-change materials (PCMs), glass wool, rubber foam and rock wool-based insulation to manage heat spread between cells,” Sen added.

However, India remains considerably import-dependent for building heat resilience in emerging new energy products. “Cooling hardware materials, aluminium cooling plates and improved thermal interface compounds are being localized, though core refrigerant and compressor components are still import-dependent,” Sen said.

About the Authors

Vijay C. Roy is a journalist with over 21 years of experience covering various news beats across different organisations such as Business Standard and The Tribune. In the past, he has covered beats such as finance, auto, MSME, commodities, FMCG, pharmaceutical, agriculture, IT/ITES, infrastructure and start-ups. He joined Mint in February 2025, and covers agriculture, food processing, fertilizers, environment and climate change, bringing over two decades of experience reporting on farm policy, food inflation, crop trade, and rural livelihoods.<br><br>Vijay’s areas of reporting include food security and climate change policies, focusing on their impact on different stakeholders and their implications. His expertise lies in simplifying complex agri-economic issues such as edible oil import dependence, cotton and wheat trends, fertiliser subsidies, and climate-related risks. He has covered key developments including global supply disruptions and evolving trade policies, offering both macroeconomic perspective and field-level context. Known for his credible and balanced reporting, he follows a rigorous, fact-based approach that prioritises accuracy and context. He is driven by a commitment to public interest, aiming to make critical agricultural and economic issues accessible while contributing to informed policy and industry discussions.

Sowmya is a senior correspondent covering retail, FMCG, corporate strategy, and consumer technology, with a focus on how companies navigate demand, competition, and shifting consumption patterns across both urban and emerging markets. She reports on business decisions through both breaking news and long-form stories.<br><br>An alumna of the Asian College of Journalism, she has reported on a range of consumer-facing industries, including e-commerce, healthcare, and startups. Her work focuses on understanding how companies grow, compete, and adapt in a changing economic environment, as well as how broader trends translate into everyday consumption and business outcomes.<br><br>She is particularly interested in how business decisions show up in everyday consumer experiences, and often looks at trends through the lens of how they play out on the ground.<br><br>Prior to her current role, Sowmya was part of the editorial team at YourStory, where she covered startups and entrepreneurship. She has also worked on longform stories at The Morning Context and reported on technology at The Hindu in Chennai, gaining experience across different formats and newsrooms.<br><br>Her reporting aims to be accurate and accessible, with an emphasis on context and careful sourcing. She is particularly interested in stories that sit at the intersection of business strategy and consumer behaviour.<br><br>Based in Bengaluru and always curious about evolving consumption trends, she is often exploring new coffee and kombucha spots, both as a personal interest and a way to observe how consumer preferences are taking shape on the ground.

Manas is a New Delhi-based journalist with Mint, where he covers the intersection of economic policy, industry, and emerging sectors shaping India’s growth. He writes on government regulation, manufacturing, and the clean energy transition, with particular depth in areas such as electric mobility, battery ecosystems, and rare-earth supply chains. He has written on India’s efforts to build domestic capacity in electric vehicles and energy storage, as well as the broader push to reduce import dependence and strengthen supply chain resilience. His reports are not limited to capturing the headline; they also aim to explain complex policy simply.<br><br>Manas has studied law in Pune, the city where he grew up, followed by a business journalism diploma from the Asian College of Journalism in Chennai. In his almost two years of being a correspondent for Mint, Manas has reported as major wars unfolded, a general election brought surprises for both the ruling party and the Opposition, and three Union Budget announcements where India has charted its economic course for the days to come.<br><br>On vacation, Manas plays bass guitar with his friends in Space & Co, their jam-rock band. He also likes cats, and occasions of late-night snacking.

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