Department of Pharmaceuticals (DoP) has announced the Scheme for Cluster Development Programme for Pharma Sector in July 2014 to enhance quality, productivity and innovative capabilities of the SME pharma sector in the country.
Chemicals industry in India is highly diversified, covering more than 80,000 commercial products. It is broadly classified into Bulk chemicals, Specialty chemicals, Agrochemicals, Petrochemicals, Polymers and Fertilizers. India’s proximity to the Middle East, the world’s source of petrochemicals feedstock, makes for economies of scale.
India is a strong global dye supplier, accounting for approximately 16% of the world production of dyestuff and dye intermediates. Chemicals industry in India has been de-licensed except for few hazardous chemicals. Upcoming Petroleum, Chemicals and Petrochemicals Investment Regions (PCPIRs) and Plastic parks will provide state-of-the-art infrastructure for Chemicals and Petrochemicals sector.
100% FDI is allowed under the automatic route in the chemicals sector (except in the case of certain hazardous chemicals)
For further details, please refer to FDI Policy
Nation’s Gross Value Added
Chemical products exports share
Contribution to global chemical industry
Dyestuff and dye intermediates share (global)
Third largest consumer of polymers in the world
Fourth largest producer of agrochemicals in the world
Sixth largest producer of chemicals in the world
Total production of major chemicals and petrochemicals stood at 27,847 MT during 2018-19, a growth of 4.15% over 2017-18. Alkali chemicals had the largest share in the Chemical industry in India with approximately 69% share in the total production. Production of polymers account for around 61% of total production of basic major petrochemicals.
Rising disposable income, median age of population, urbanisation and growing penetration and demand from rural markets
Shift in production and consumption towards Asian and Southeast Asian countries in all sectors leading to increasing demand for Chemicals and Petrochemicals
Shift in consumer preferences towards a healthier lifestyle and environment-friendly products
Opportunity to produce $111 Bn worth of chemical products by 2023 for domestic requirements