Chemicals & Fertilizers - #SectorUpdates
The Indian Chemicals sector covers more than 80,000 commercial products and it is extremely diversified and can be grouped into bulk chemicals, specialty chemicals, agrochemicals, petrochemicals, polymers, and fertilizers. Globally, India is the fourth-largest producer of agrochemicals standing after the United States, Japan, and China. India accounts for around 16% of the world’s production of dyestuffs and dye intermediates. Interestingly, India holds a strong position in exports and imports of chemicals at a global level and ranks 14th in exports and 8th in imports at the global level. This year in FY22 the domestic chemicals sector’s small and medium enterprises are projected to showcase 18-23% revenue growth owing to an improvement in domestic demand and higher realization due to rising prices of chemicals. The Government is considering launching a Production Linked Incentive (PLI) scheme in the chemical sector to boost domestic manufacturing and exports.