Maharashtra share in India's chemical production to double to approximately 15

Maharashtra share in India's chemical production to double to approximately 15

By: ICN Bureau

Last updated : March 06, 2018 8:18 pm



The Indian chemical Industry has a potential to grow at 15 per cent per annum to reach $330 billion by 2020. Increasing domestic demand "” driven by strong growth outlook of key consumer industries like automotive and construction "” is expected to


The Indian chemical Industry has a potential to grow at 15 per cent per annum to reach $330 billion by 2020. Increasing domestic demand ? driven by strong growth outlook of key consumer industries like automotive and construction ? is expected to be the key growth driver, says a recently released report of Tata Strategic Management Group.

According to the report, good availability of feedstock, proximity to several consumer industries and strong connectivity through port, road and rail network are the key strengths for the chemical industry in Maharashtra. However, the industry also faces some key challenges including limited presence in high-value chemical segments and power shortage.

The report further says that Maharashtra could aspire to double its share of India?s chemical production to approximately 15 per cent over the next few years (in line with its contribution to the overall GDP). The key enablers for the same are the following:

Policy support / incentives for promotion of chemical parks / product clusters. Increased investment from private sector and FDI flows. Leveraging opportunities in high-value segments (performance chemicals, engineering plastics, pigments and coating products, etc). Renewed focus on innovation and sustainability.

 
First Published : May 03, 2011 12:00 am