New Delhi, 3 July (IANS). A report by the NITI Aayog said on Thursday that India’s chemical sector will reach 1 trillion dollars by 2040 with targeted reforms and would get a 12 percent share in the Global Price Series (GVC).
Currently, India accounts for 3.5 percent of the global chemical price chains and in 2023 the country’s chemical trade deficit was $ 31 billion. This is due to high dependence on imported feedstock and special chemical.
NITI Aayog said in the report that the vision for 2030 is that India becomes a superpower in global chemical manufacturing with a 5-6 percent share in the global chemical price chain.
NITI Aayog CEO BVR Subrahmanyam said that the chemical sector is much larger than many traditional industries of the country and this is the time to take advantage of it.
Addressing the people, he said, “We are a prominent producer of chemical. It is a fast growing sector. Both biological and abiotic chemicals are an important part of our life. We do anything, then it is present in it”
The goal of this sector is to double its current production level and reduce the trade deficit in 2023 by 31 billion to reach the net zero trade balance in chemicals.
The report said that this initiative will export an additional 35-40 billion dollars, which will generate about 7 lakh jobs.
Emphasizing the strategic importance of the chemical sector, Dr. Arvind Virmani, senior officer of NITI Aayog, said that a national policy is needed for this sector, because the responsibility ranging from weapon manufacturing to export clusters is not of the states, but of the Center.
He further stated that whatever major chemical clusters in India are installed in most coastal states, as the petrochemicals and the value chain associated with it usually do better near the marine ports.
With the help of these clusters, the cost of raw material is low and logistics becomes efficient. For this reason, seven to eight big coastal clusters have been identified. With these efforts, India will not only promote its domestic production, but will also be able to get firmly into global competition in the field of chemical exports.
According to the report, India’s chemical sector can achieve a target of $ 1 trillion by 2040 by targeted reforms of a comprehensive category of fiscal and non-fiscal interventions.
-IANS
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