India's chemical market pegged at US$ 300 billion by 2030: BCG report
- IBEF
- January 16, 2026
India’s chemical industry is projected to grow into a Rs. 24,900 billion (US$ 300 billion) market by 2030, according to a report by Boston Consulting Group (BCG). The report notes that growth in the sector will be driven by strong domestic consumption across key end-use industries, including automobiles, construction, agriculture, and personal care, supported by favourable government policies and an expanding manufacturing base. In addition to demand-side momentum, India’s chemical industry is expected to benefit from rising export opportunities as global supply chains increasingly diversify production away from traditional manufacturing hubs. The combination of domestic demand growth and export potential positions the sector for sustained expansion over the coming years.
BCG’s analysis suggests that India’s strategic position, characterised by a young workforce, competitive manufacturing costs, and improving infrastructure, could attract increased investment from global chemical manufacturers. The report also notes that the expansion of the chemical sector aligns with India’s broader industrial initiatives, including Make in India, as well as efforts to enhance value addition within the manufacturing ecosystem. Export opportunities are expected to expand as Indian producers scale up capabilities and cater to rising demand from regions such as Southeast Asia, Africa, and the Middle East. With greater integration into global value chains, the sector is likely to witness improved competitiveness and technological advancement.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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