Advantage India
Growing
Demand
* Rise in demand from end-user industries such as food processing, personal care and home care is driving development of different segments in India’s specialty chemicals market.
* The domestic chemicals sector's small and medium enterprises are expected to showcase 18-23% revenue growth in FY22, owing to an improvement in domestic demand and higher realisation due to high prices of chemicals.
Opportunities
* India’s specialty chemicals companies are expanding their capacities to cater to rising demand from domestic and overseas.
* With global companies seeking to de-risk their supply chains, which are dependent on China, the chemical sector in India has the opportunity for a significant growth.
Policy
Support
* The government plans to introduce production-linked incentive (PLI) scheme to promote domestic manufacturing of agrochemicals.
* Under the Union Budget 2023-24 the government allocated Rs. 173.45 crore (US$ 20.93 million) to the Department of Chemicals and Petrochemicals.
Increasing
Investments
and spending
* FDI inflows in the chemicals sector (other than fertilisers) reached US$ 20.96 billion between April 2000-December 2022.
* In November 2021, Indian Oil Corporation (IOCL) announced plans to invest Rs. 3,681 crore (US$ 495.22 million) to set up India’s first mega-scale maleic anhydride unit for manufacturing high-value specialty chemicals at its Panipat Refinery in Haryana.
Related News
MOREChemical Clusters
- Gujarat
- Maharashtra
- Odisha
- Tamil Nadu
- Andhra Pradesh
- Uttar Pradesh
Posters
MORE
INDIA IS THE SIXTH-LARGEST PRODUCER OF CHEMICALS
Covering more than 80,000 commercial products, India’s chemical industry is extremely diversified and can be broadly
IBEF Campaigns
MORE
India Organic Biofach 2022
Ibef Organic Indian Pavilion BIOFACH2022 July 26th-29th, 2022 | Nuremberg, ...
Case Studies
MORESustainable Circular Economy in India
A circular economy involves a comprehensive strategy for economic growth that is intended to benefit industry, society, and the environment. It seeks ...
Future of Data Science and AI in India
Artificial Intelligence (AI) is the potential of machines to impersonate the capabilities of the human mind. These machines are enabling high-level co...
Service Sector Contribution to India's GDP
India's booming service industry is a remarkable illustration of how modern economic growth models can outperform traditionally established ones. ...
IBEF BLOG
MORE
Foreign Trade Policy: A future-ready initiative
Union Minister of Commerce and Industry, Consumer Affairs, Food and Public ...
The Electric Two-Wheelers Vehicle Industry in India
The Electric Vehicle (EV) market in India is quickly evolving into a comple...
The Sky’s the Limit: India's Growing Aviation Industry
The Sky’s the Limit: India's Growing Aviation Industry India is t...
Partners
