According to a report from IBEF (India Brand Equity Foundation) the total chemicals exports from India stood at US$ 29.3 billion in FY 2022. India is the 6th largest chemical producing countries in the world and the 3rd largest in Asia. India exports inorganic and organic chemicals, tanning and dyes, agrochemicals, plastics, synthetic rubber, filaments, etc. There have been continuous efforts from the Department of Commerce & Industry and Indian exporters. India’s chemical exports promotional council (CHEMEXIM) has also worked hard and initiated efforts to increase the international exposure by organizing B2B exhibitions in several countries, exploring new potential markets through product specific marketing campaigns with the active involvement of the Indian embassies. This export growth has been achieved despite issues like high freight rates and container shortages which has benefitted small and medium exporters from key states like Gujarat, Maharashtra, Karnataka, Tamil Nadu and Andhra Pradesh.
India has been a major export hub for countries like China, USA, Brazil, Netherlands, Saudi Arabia, Indonesia, UAE, Japan, Germany, etc. and exports products to more than 175 countries. Recently there has been a surge in exports to markets like Turkey, Russia and Northeastern Asian countries like Hong Kong, Japan, South Korea, Taiwan, Macao and Mongolia. Moreover, there has been a rise in the trade using local currencies after several countries have started trading in currencies other than the USD.
China is a major importer of dyes, dye intermediates and organic chemicals from India. USA remained the largest importer of essential oils, inorganic chemicals while Brazil was the top importer of agrochemicals from India. India’s Cosmetics, Soap & Toiletries exports to USA were the highest among all the key export destinations from India.
Government Initiatives
PCPIR Policy 2020-35
Under the new PCPIR Policy 2020-35, a combined investment of US$ 142 billion is targeted by 2025, US$ 213 billion by 2030 and US$ 284 billion by 2035 in all PCPIRs across the country. The four PCPIRs are expected to generate employment for ~33.83 lakh people. About 3.50 lakh people have been employed in direct and indirect activities related to PCPIRs by the end of 2020.
Chemical Promotion and Development Scheme (CPDS)
The primary objective of the CPDS is to facilitate growth in thechemical and petrochemical industry with knowledge dissemination through studies, surveys, data banks and promotional materials. The three main components of the scheme are knowledge product creation, knowledge dissemination and excellence awards for research and innovation.
Apart from the various schemes mentioned above, the Government of India has introduced several research entities, schemes and councils to develop skilled manpower in the industry aimed at increasing manufacturing competitiveness of India in the global market. This effort included providing grant in aid to educational institutes for setting up Center of Excellence (CoE) with a view to improve existing petrochemical technology and promote development of new applications of polymers. The government has also made budgetary allocations towards Central Institute of Plastic Engineering and Technology (CIPET) to strengthen the research & development capabilities, technical infrastructure and implemented training initiatives.
Basic Chemicals, Cosmetics and Dyes Export Promotion Council (CHEMEXIL)
Found in 1962 by the Government of India, the primary objective of the CHEMEXIL is to promote chemical product exports abroad. The important roles of the council are to be an interface between the industry and government, participate in international exhibitions, advise the government on policies, provide training and knowledge transfer to industries, etc.
Notes on Upcoming Exhibitions
In another note, we want to make sure that you do visit the ChemExpo 2023 on 18th – 19th April 2023 which is one of the most successful exhibitions in the chemical industry in India. We are also partnered with Expo Paints and Coatings (EPC) 2023 going to be held in Delhi, Pragati Maidan from 13th – 15th July. We are booking the raw space and shell scheme for EPC 2023. For more details, please contact us or send us an email.
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