India: Market Scenario Chemical Sector to Turn into 300 Billion Dollar Industry by 2025
The government intends to bring in a new policy to promote the domestic industry and curb imports to meet the growing needs of the industry. The Department of Chemicals and Petrochemicals has also stated the need to revise the current Investment Regions policy to make it more effective.
New Delhi – India’s chemical sector is expected to double its size at 300 billion dollar by 2025, clocking an annual growth rate of 8-10 %, the government recently stated. To meet this objective, the Centre also announced plans to bring a new policy to promote the domestic industry and curb imports. The Department of Chemicals and Petrochemicals has mentioned that this industry is critical and one of the driving engines of the manufacturing sector. It also added that sub-sectors such as speciality chemicals and agro-chemicals are growing at a higher pace.
The department is working on a draft chemical policy which would focus on meeting the rising demand of chemicals from the domestic industry and reduce dependence on imports. The government body also spoke about the need to rework the current Petroleum, Chemicals and Petrochemicals Investment Regions policy to make them more effective and encourage additional investments. The department has also taken up issues related with FTAs (free trade agreements) in the chemical sector with the commerce ministry.