India has traditionally been a world leader in generics and biosimilars and major Indian vaccine
manufacturers, contributing more than 50% of the global vaccine supply. Chemicals and
petrochemicals demand in India is expected to nearly triple and reach US$ 1 trillion by 2040.
An investment of Rs. 8 lakh crore (US$ 107.38 billion) is estimated in the Indian chemicals and
petrochemicals sector by 2025. Specialty chemicals account for 20% of the global chemicals
industry’s US$ 4 trillion, with India’s market expected to increase at a CAGR of 12% to US$ 64
billion by 2025.
The Department of Chemicals & Petrochemicals intends to bring PLI in the chemical & petrochemical
sector and will redraft the Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR)
guidelines. India achieved its highest-ever urea production of over 314 lakh metric tonnes (LMT)
in 2023–24, reflecting a significant increase in domestic production capacity.
A shift in the global supply chain brought on by the China+1 strategy and a resurgence in
domestic end-user demand was expected to fuel significant revenue growth of 18–20% in 2022 and
14–15% in 2023.