The Indian chemicals and petrochemicals sector has the potential to help India reach its goal of a $5-trillion economy by 2025 as the sector is expected to grow at a compounded annual growth rate (CAGR) of 9.3 per cent from a $163-billion market to a $304-billion one by 2025, minister of chemicals and fertilizers D V Sadananda Gowda said recently.
Speaking at the 'Summit on Global Chemicals and Petrochemicals Manufacturing Hubs in India 2019' in Mumbai jointly organised by the Federation of Indian Chambers of Commerce and Industry (FICCI) and his ministry, Gowda said the rapid growth in the sector will help India emerge as the world’s next manufacturing hub.The Indian chemicals and petrochemicals sector has the potential to help India reach its goal of a $5-trillion economy by 2025 as the sector is expected to grow at a compounded annual growth rate (CAGR) of 9.3 per cent from a $163-billion market to a $304-billion one by 2025, minister of chemicals and fertilizers D V Sadananda Gowda said recently.#
The summit witnessed the launch of the FICCI-Mott MacDonald 'Petroleum, Chemicals and Petrochemicals Investment Regions (PCPIR) Rejuvenation Study'. The study highlights the continuous development of PCPIRs, and the government's road map for rejuvenating investment in PCPIRs, according to a FICCI press release.
The study points out that India is the sixth-largest producer of chemicals in the world and contributes 3.4 per cent to the global chemical industry. The chemicals market in India has grown at 3 per cent over the past decade. The industry comprises 13.38 per cent of manufacturing gross added value (GVA) and 2.39 per cent of national GVA, which employs about 2 million people.
The Indian government adopted a policy in 2007 to set up PCPIRs. Currently, there are four identified regions: Dahej in Gujarat, Visakhapatnam in Andhra Pradesh, Paradip in Odisha and Cuddalore in Tamil Nadu.
However, due to a wide range of issues ranging from overall infrastructure development to project financing, attracting investments to Visakhapatnam, Paradip and Cuddalore have been relatively challenging in comparison to Dahej, the press release said.
At the summit, Alok Masterbatches, one of India’s leading masterbatch producers, was conferred the FICCI Chemicals & Petrochemicals Award in the category ‘Sustainability for excellence in safety (petrochemicals).’
The company was recognised for exhibiting safety processes and cutting-edge technologies, deployed at its manufacturing plant in Ranipet.
Fibre2Fashion News Desk (DS)
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