Need For More Robust Support For Specialized Chemicals: Sitharaman
Union Minister of Finance and Corporate Affairs Nirmala Sitharaman said that there is need for more robust support for specialized chemicals in India.
Bringing attention towards the market of Specialty chemicals which is growing exponentially at 12 per cent CAGR, she said, “There is need for more robust support for specialized chemicals. The emergence of this market is driven by country’s strong process engineering capabilities, low-cost manufacturing capabilities and abundant manpower.”
She also said that the Indian chemical and petrochemicals sector has huge potential and it also impacts other sectors of the economy. The importance of the sector can be gauged from the fact that it deals with more than 80,000 chemicals products which involves sectors like Agriculture, Infrastructure, Textiles, Pharma, Packaging, among others.
On July 27, the minister inaugurated the 3rd edition of summit on “Global Chemicals and Petrochemicals Manufacturing Hubs in India" (GCPMH 2023).
The Department of Chemical & Petrochemical, Ministry of Chemicals and Fertilisers in association with the Federation of Indian Chambers of Commerce and Industry (FICCI) is organising this summit.
The minister also stated that India is all set to become energy independent by 2047 and achieving net zero by 2070. She highlighted the need to focus on Green growth and reduction in carbon intensity.
“The combined exports of major chemicals and petrochemicals in 2022-23 were USD 9 billion but imports also increased to USD 13.33 billion. Many of these imports included items which can be produced in India itself and the government is putting all out efforts in this direction as well,” she said.
Meanwhile, Minister of State for Chemicals and Fertilisers, Bhagwanth Khuba said that the government is working with state governments to set-up chemical parks in the country and the process of setting up plastic parks is already in place.
Khuba further said that government is also creating Center of Excellences to bring industry and academia together along with promoting skill development. The market size of the chemical and petrochemical sector is around USD 190 billion and is likely to reach USD 300 billion by 2025 and USD 1 trillion by 2040 with huge opportunities for investments.
