- A large population,huge domestic market dependence on agriculture and strong export demand are the key growth drivers for the industry.
- A global shift towards Asia as the worldâs chemicals manufacturing hub.
- Per capita consumption of chemicals in India is lower as compared to western countries, so immense scope for new investments.
- Rise in GDP and purchasing power generates huge growth potential for the domestic market.
- A focus on new segments such as specialty and knowledge chemicals.
- Low-cost manufacturing.
- Skilled science professionals.
- World-class engineering and strong R&D capabilities.
Reasons to Invest
- India is the third largest producer of chemicals in Asia and sixth by output, in the world.
- The chemicals industry is a key constituent of the Indian economy, accounting for about 1.38% of the nationâs GDP.
- India is currently the worldâs third largest consumer of polymers and fourth largest producer of agro-chemicals.
- Indiaâs proximity to the Middle East, the worldâs source of petrochemical feedstock, makes for economies of scale.
- Strong government support for R&D.
- Polymers and agro-chemicals industries in India present immense growth opportunities.
- 100% FDI permitted through automatic route.
- Chemical Sector is delicensed except for few hazardous chemicals.
- Upcoming Petroleum, Chemicals and Petrochemicals Investment Regions (PCPIR) & Plastic Parks will provide state-of-the-art infrastructure for Chemical & Petrochemicals Sector.
- Trade in most of the chemicals is free except for those attracting provision of international conventions.
- Department of Chemicals & Petrochemicals, Ministry of Chemicals & Fertilizers
- Indian Chemical Council
- Crop life India
- Dye Manufacturers Association of India
- Alkali Manufacturers Association of India
- Indian Speciality Chemical Manufacturers Association
- Chemicals & Petrochemicals Manufacturers Association
- The All India Plastic ManufacturesÂ´ Association, (AIPMA)
- Organization of Plastic Processors of India (OPPI)
- Assocation of Synthetic Fibre Industry (ASFI)Â (Email : email@example.com)