Govt to intervene and address chemical industry challenges: JP Nadda

Chemical industry challenges: Union Chemicals and Fertilizers Minister Jagat Prakash Nadda announced on Saturday that the government will implement necessary policy interventions to address challenges in the chemicals and petrochemicals industry and foster sector growth. The minister spoke at the launch of the 13th edition of India Chem 2024, scheduled for October in Mumbai.

"The Prime Minister desires that we become a $5 trillion economy. To achieve this, our programmes and policies must align to ensure the chemical and petrochemical industries contribute to this goal," Nadda said.

Industry representatives had discussed various challenges and provided suggestions, which the minister acknowledged. "As a minister, I assure you that the government is committed to making any necessary policy and programme interventions. We will move forward with this commitment," he said.

Nadda urged the industry to focus on reducing imports, enhancing research and development, and improving skills. He also announced the brochure for India Chem 2024. Anupriya Patel, Minister of State for Chemicals & Fertilizers, and Nivedita Shukla Verma, Secretary, Department of Chemicals and Petrochemicals, were present at the event.

The theme for India Chem 2024, "Advantage Bharat: Indian Chemicals and Petrochemicals Paving the Future," aligns with Prime Minister Narendra Modi's vision of making India a $5 trillion economy. The event, to be held from 17-19 October in Mumbai, is expected to showcase the potential of India's chemical industry and provide a platform for strategic discussions and collaborations.

Nadda reiterated the government's commitment to the industry's growth, highlighting numerous structural reforms aimed at industrial development and strengthening the chemical sector. Patel emphasized the sector's crucial role in the economic development of key areas such as automotive, construction, electronics, healthcare, textiles, and FMCGs.

She noted that India is the world's second-largest exporter of chemical dyes, dyestuffs, and agrochemicals, contributing about 3 per cent of global chemical sales. "Investment-friendly reforms and the removal of policy bottlenecks are top priorities for the government," Patel said.

India Chem 2024 is one of the largest composite events in the Asia-Pacific, featuring an international exhibition and conference. The exhibition aims to highlight the Indian chemical industry's vast potential and foster groundbreaking discussions and strategic collaborations.

The Indian chemical industry is currently valued at $220 billion and is projected to reach $300 billion by 2030 and $1 trillion by 2040. Rajendra V Gogri, Co-Chairman of the FICCI National Chemical Committee and Chairman and Managing Director of Aarti Industries highlighted the global shift towards emerging markets like India, citing cost, logistics, labour, and equipment advantages.

Gogri emphasised the industry's long-standing request for a production-linked incentive (PLI) scheme to boost manufacturing and reduce imports. He also stressed the importance of improving the ease of doing business, particularly in expediting projects streamlining environmental regulations, and promoting effective circularity to capitalise on opportunities in the chemical industry.

(With PTI inputs)