Chemical Industry India
India's Chemical Industry Still Largely Dependent on Imports
Basic Chemicals Big in India, Report Shows
Basic chemicals like anorganics, petrochemicals and polymers accounted for around 45 percent of the Indian chemicals market. The governments 'National Policy on Petrochemicals' is specifically aimed at boosting investments in petrochemical facilities in the country, since products like plastics and polymers are needed to serve the growing demands of the Indian industry.
By restructuring the former mostly state owned fertilizer production, India has become the world's second biggest producers of fertilisers after the US. Companies in this sector of the economy especially profit from subsidiaries for basic feedstock such as natural gas.
Country Major Producer of Pest Control and Fertilisers
India is also a strong exporter of goods like pest control or hydrocarbons, accounting for 13% of the global insecticides market as well as 13% of the hydrocarbons derivatives production and alcohol derivatives (12%), says a report of the Export–Import Bank of India.
How Established Players Can Profit From an Emerging Chemical Industry
Not only Indian companies, but also the established players of the chemical industry are expected to profit from this development: Germany, the world's largest exporter of chemicals, for example exports chemical products wort € 1.4 billion into the country – with tendency to rise. Engineering firms and manufacturers profit from direct investments: In the past India was mainly used as a manufacturing site to produce cheap bulk materials for a local market – now companies hope to profit from the country's transformation to a global industrial hub.