- NITI Aayog released a comprehensive report titled “Chemical Industry: Powering India’s Participation in Global Value Chains”.
- The report presents a detailed analysis of the Indian chemical sector, addressing opportunities, challenges, and strategic directions for growth.
Launch Details:
- The report was officially launched by BVR Subrahmanyam, CEO of NITI Aayog, along with Suman Bery, Vice Chairman of NITI Aayog.
Current Standing:
- India is currently the sixth-largest chemical producer in the world and third-largest in Asia, contributing critical raw materials to sectors such as pharmaceuticals, textiles, automotive, and agriculture.
Key Highlights from the Report:
i. India’s share in global chemical value chains stood at 3.5 percent in 2023, with a chemical trade deficit of USD 31 billion, indicating high dependence on imports.
ii. The domestic chemical market was valued at USD 220 billion in 2023 and is projected to grow to USD 400 to 450 billion by 2030, and potentially reach USD 1 trillion by 2040 with strong government support.
iii. The chemical sector contributes about 7 percent to India’s national GDP.